Assume that the demand for cocaine is perfectly price inelastic and that users get the funds to pay for cocaine primarily by stealing. Suppose, too, that the U.S.

Drug Enforcement Agency successfully intercepts shipments of the drug from foreign sources and, therefore, reduces the availability of cocaine.

a) Show, using supply and demand curves, the resulting impact on the price of cocaine.

b) What will happen to the amount of crime committed by cocaine users?