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IRA 17 8 }} In the market for hot chocolate describe what happens in each of the following situation. For a. and b. describe which curve is affected, the reason for the shift, the direction of the shift and what happens to price and quantity as a result of the shift. Assume that there is no intervention in the market. You are encouraged to draw graphs to help in your analysis but do not have to submit them with your answer. a. The price of tea, a substitute for hot chocolate, falls b. The price of cocoa beans, the main ingredient in hot chocolate powder and syrup, decreases.. c. Assume that both a and b have simultaneously occurred, what can you say about the effect of both of these events on equilibrium price and quantity? 12pt v T U