00:01
Okay, so for this question it states, if the price of sugar rises, while the quantity of sugar trade falls, then it is likely that a, the demand for sugar has fallen, b, the supply of sugar has fallen, c, the supply of sugar has increased, or d, the demand for sugar has increased.
00:21
So if the price of the sugar rises, it could be due to an increase in demand.
00:27
So rises, it could be due to an increase of demand or decrease in supply.
00:43
However, the quantity of the sugar trade has fallen.
00:47
This suggests that the demand has not increased because if it had, the sugar would be traded despite the higher price it.
00:57
Therefore, the most likely scenario, if the supply of the sugar has fallen, when the supply decreases, price increases...