Question

A business produces apple juice and orange juice. When the price of orange juice has increased from $2.00
to $2.50
, how is the supply of apple juice modeled?(1 point)

a shift of the supply curve for apple juice to the right

a shift of the supply curve for apple juice to the left

a downward movement along the supply curve for apple juice

an upward movement along the supply curve for apple juice

Answer 1

a shift of the supply curve for apple juice to the left

Explanation: higher orange juice price makes producing orange juice more profitable, so the firm reallocates resources toward orange juice, reducing the supply of apple juice (supply curve shifts left).