Effect of four events on french wine market


What will be the effect of the following events on market for French wine and quantity consumed? Distinguish between the short-run and long-run impact.

a) A new study linking longevity with moderate amounts of red wine.

b) An increase in the price of Californian wine.

c) A severe drought in the wine growing regions of France.

d) A subsidy to French vineyards.

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Microeconomics: Effect of four events on french wine market
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