100k views
5 votes
What two things must occur for an energy crisis to occur in society?

A) Decrease in supply, increase in price
B) Decrease in supply, decrease in price
C) Increase in supply, decrease in price
D) Increase in supply, increase in price

User Migas
by
7.8k points

1 Answer

3 votes

Final answer:

An energy crisis occurs when there is a decrease in energy supply leading to an increase in energy prices, creating a scarcity of energy resources at higher costs.

Step-by-step explanation:

To trigger an energy crisis in society, two primary events must occur: a decrease in energy supply and an increase in energy prices. This scenario is reflective of an imbalance between supply and demand where a decrease in the supply of energy resources, often due to disruptions such as oil pumping issues, leads to a movement up the demand curve. Consequently, the equilibrium price of these resources increases while the equilibrium quantity available decreases, creating a crisis situation where energy becomes scarce and expensive.

User Ovm
by
7.6k points