Final answer:
In anticipation of an attack on Marsistan by Venustan which would disrupt marston supply, traders might drive up futures prices, illustrated by a shift in the supply curve leftward on a market graph, increasing the futures contracts equilibrium price.
Step-by-step explanation:
The question at hand is an application of supply and demand theory in the context of futures contracts markets in response to the anticipation of an international conflict affecting a vital input in the energy production process, known as marston, which is produced by the hypothetical country of Marsistan. If Venustan is planning an attack on Marsistan, it can be anticipated that there will be a disruption in the supply of marston. Traders in the futures market, anticipating a potential shortage, may drive the price of futures contracts for marston up, as they expect that the spot market price of marston will be higher in the future due to the supply disruption caused by the conflict.
Using supply and demand analysis, we can illustrate this by shifting the supply curve to the left on a graph representing the market for marston futures contracts, indicating a decrease in supply. A leftward shift in supply, holding demand constant, would result in an increase in the equilibrium price of futures contracts. Conversely, if Venustan's attack causes an expectation of much lower marston demand due to reduced energy production, the demand curve for futures might shift left, potentially lowering the futures prices despite the supply disruption. However, the overall impact would depend on the magnitude of these shifts and the elasticities of supply and demand.