The demand for cotton decreased with the Industrial Revolution and the growth of textile mills in the North. (A) TRUE
(B) FALSE

True

Explanation:

B. False

Explanation:

With the Industrial Revolution, the demand for cotton only increased.

The growth of textile mills allowed for textiles to be made much more efficiently, and factories were making huge profits from manufacturing.

Since the textile industry was so profitable and productive, the cotton demand increased, since textiles are made from cotton.

Because of the Industrial Revolution and growth of Northern textile mills, the demand for cotton increased.

So, this is false, since the demand for cotton did not decrease.

when a country suffers, for example, a drought period, the market product is affected for a low offer, in this case, potatoes; the government has to tax to the households, which have to give more money for the potatoes which they consume, that situation make them consume substitute goods even through loans, it could increase the financial market movement and the inflationary phenomena, the business has to increase salaries in order to the employees could buy a more expensive food (potatoes) and in order to inflation tha business had to buy expensive supplies in the factor market, while the rest of the world have to gain more money to consume the same amount of potatoes.