All else equal, a decrease in the demand for oranges will lead to a(n) ________ in equilibrium price and a(n) ________ in equilibrium quantity.
A. decrease; increase
B. decrease; decrease
C. increase; increase
D. increase; decrease
Answer: B
You might also like to view...
What is interest rate parity and what happens when this condition doesn't hold?
What will be an ideal response?
Refer to Figure 29-1. The appreciation of the dollar is represented as a movement from
A) C to A. B) C to B. C) D to C. D) B to A.
Macroeconomics focuses on a certain set of variables called
A) micros. B) marginals. C) partials. D) balances. E) aggregates.
If the U.S. has a trade deficit and the nominal exchange rate depreciates, then other things the same
a. the trade deficit rises and net capital outflow rises. b. the trade deficit rises and net capital outflow falls. c. the trade deficit falls and net capital outflows rise. d. the trade deficit falls and net capital outflows fall.