The diagram depicts the cocoa market, and cocoa is a normal good. At first, the market is at equilibrium with price Pe and quantity Qe bought and sold. Which pair of events, with event 1 occurring before event 2, must have taken place to shift the market to the new equilibrium at point X?
- Aevent 1: a decline in popularity of cocoa; event 2: the removal of a subsidy previously paid to cocoa producers
- Bevent 1: a decrease in disposable income; event 2: a decrease in costs of producing cocoa
- Cevent 1: an increase in disposable income; event 2: an increase in the number of cocoa producers
- Devent 1: a successful advertising campaign by cocoa producers; event 2: an increase in the taxation of cocoa