In 2012, a Severe Drought Led to an Increase in the Price

Multiple Choice

In 2012, a severe drought led to an increase in the price of corn. Farmer Lyle was not affected by the drought. Comparing 2012 to the previous year in which there was no drought, Farmer Lyle's

A) consumer surplus increased.
B) producer surplus increased.
C) producer surplus increased and his consumer surplus increased.
D) consumer surplus decreased and his producer surplus increased.
E) supply of corn became perfectly elastic.