Table 4.3.1. -Look at Table 4.3.1. Drought Destroys Many Coffee Plants, Causing

Multiple Choice

Table 4.3.1.
-Look at Table 4.3.1. Drought destroys many coffee plants, causing half of the espresso businesses to go out of business. As a result, quantity supplied decreases by half at each price. The new equilibrium price is $________ and the new equilibrium quantity is ________ espresso shots.

A) 1.30; 600
B) 1.50; 400
C) 0.90; 400
D) 1.20; 700
E) 1.30; 500