At the time of a Disaster or a natural calamity like drought :

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There is a widespread failure of crops.

Food supply is adversely affected

Administration gears itself to take the situation

None of these

answer is A.

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Detailed Solution

At the time of a Disaster or a natural calamity like drought, there is a widespread failure of crops. Due to such a disruption in food grain production, their supply falls adversely. As a result of the shortage of grains around the country, the prices of food grains will shoot up. Some people cannot afford to buy food when the prices are high. Thus, the first statement, "Due to the shortage of food, prices fall," is false. Every natural calamity, if occurring in a wide area, results in hyperinflation—an excessive increase in the general price level in the country. If such a condition prevails for a long time, it can result in massive starvation or famine.

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