When Sawmills Cut Logs to Produce Lumber, They Also Use

When sawmills cut logs to produce lumber, they also use the sawdust and scrap wood to produce sheets of particle board. If the price of lumber begins to fall, how would this affect the supply of lumber and particle board?

A) The quantity of lumber supplied decreases, and the particle board supply curve shifts to the right.
B) The quantity of lumber supplied increases, and the particle board supply curve shifts to the right.
C) The lumber supply curve shifts to the left, and the particle board supply curve shifts to the left.
D) The quantity of lumber supplied decreases, and the particle board supply curve shifts to the left.

Correct Answer:

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