Suppose the price of pepperoni falls. In the market for pizza, in which pepperoni of a popular ingredient, one would expect that
A) the supply of pizza would increase, and the price would fall.
B) the demand for pizza would increase, and the price would increase.
C) the demand for pizza would decrease, and price would fall.
D) the supply of pizza would decrease, and price would rise.
Answer: A
You might also like to view...
What is the timeline for the U.S. federal budget each year? When does a fiscal year begin and end?
What will be an ideal response?
Forward guidance refers to central banks
A) setting long-term interest rates. B) engaging in monetary policy to offset the negative side-effects of the government's fiscal policies. C) telling the public what future monetary policy will be. D) simultaneously reducing unemployment and inflation.
If the data collected by policy makers overstate inflation, this is an example of
A. A goal conflict. B. An implementation problem. C. A design problem. D. A measurement problem.
In Figure 26.1, the deadweight loss that occurs with this monopoly is 
A. P2AC. B. FAC. C. FABE. D. EBC.