1, Eggs and bacon are complements. A decrease in the price of eggs would cause which of the following in the market for bacon?
a) The equilibrium price and quantity of bacon would increase.
b) The equilibrium price and quantity of bacon would decrease.
c) The equilibrium price and quantity of bacon would increase and the equilibrium quantity would decrease.
d) The equilibrium price of bacon would decrease and the equilibrium quantity would increase.
2) A movement to along the demand curve to the right may be caused by
a) a rise in income
b) an increase in supply
c) a fallin the price of a substitute good.
d) a rise in the price of inputs
3) Apples and organes are substitute goods. A freeze in Florida destroyed a good portion of orange crop. Ceteris Paribus
a) the price of both apples and oranges will increase
b) the price of both apples and oranges will fall
c) the price of oranges will increase and the price of apples will fall
d) the price of oranges will fall and the price of apples will increase
1, Eggs and bacon are complements. A decrease in the price of eggs would cause which of the following in the market for bacon?
a) The equilibrium price and quantity of bacon would increase.
b) The equilibrium price and quantity of bacon would decrease.
c) The equilibrium price and quantity of bacon would increase and the equilibrium quantity would decrease.
d) The equilibrium price of bacon would decrease and the equilibrium quantity would increase.
2) A movement to along the demand curve to the right may be caused by
a) a rise in income
b) an increase in supply
c) a fallin the price of a substitute good.
d) a rise in the price of inputs
3) Apples and organes are substitute goods. A freeze in Florida destroyed a good portion of orange crop. Ceteris Paribus
a) the price of both apples and oranges will increase
b) the price of both apples and oranges will fall
c) the price of oranges will increase and the price of apples will fall
d) the price of oranges will fall and the price of apples will increase
