Question
At the end of March, 2021, a ship got stuck in the Suez Canal, blocking international shipping traffic for days. There was widespread discussion of
At the end of March, 2021, a ship got stuck in the Suez Canal, blocking international shipping traffic for days. There was widespread discussion of possible effects on the prices of goods manufactured overseas and sold in the US. Imagine if a similar disruption happened for a prolonged period during a peak shopping season, like in the weeks before Christmas. How would you predict the effects on prices and quantities of toys sold in the US?
Group of answer choices
Prices increase, quantity sold increases.
Prices decrease, quantity sold increases
Prices decrease, quantity sold decreases.
Unable to determine
Prices increase, quantity sold decreases.
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