Question: Newspaper item: Due to lower grain prices, consumers can expect retail prices of choice beef to begin dropping slightly this spring with pork becoming cheaper

Newspaper item: "Due to lower grain prices, consumers can expect retail prices of choice beef to begin dropping slightly this spring with pork becoming cheaper after midsummer," the Agriculture Department predicted. "This reflects increasing supply," the department said. Does the statement use the term "supply" correctly? What effects might this announcement have on consumer demand? Explain.

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The announcement does use the term supply correctly because the drop inprice predicted is a result o... View full answer

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