Suppose that a new study is released stating that consumption of orange juice (a substitute for apple juice) reduces the risk of cancer, and a major freeze destroys half of the country's apple crop. What happens to the price and quantity of apple juice?
A. The price of apple juice might rise or fall and the quantity of apple juice falls.
B. The price of apple juice might rise or fall and the quantity of apple juice rises.
C. The price of apple juice falls and the quantity of apple juice falls.
D. The quantity of apple juice might rise or fall, and the price of apple juice rises.
Answer: A
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According to the quantity theory of money demand
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Indicate whether the statement is true or false
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