As a college student in the 1980s, Darell wore classic sport coats from the 1950s that he picked up at vintage shops for 10 dollars

His college-age son wants to have the same look in the 2010s, but the 1950s jackets now cost nearly 100 dollars. Discounting inflation, what is the likely cause for the price increase?
A) low demand
B) high supply
C) government restrictions
D) low supply
E) monopoly market

Answer: D
Explanation: D) Every product has a useful life. Jackets from the mid-20th century would be over 50 years old, and few remain in wearable condition. Scarcity drives up the price.

Business

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