An increase in the price of input used to produce a product will lead to
A) a decrease in the demand for that product.
B) a decrease in quantity supplied of that product
C) a decrease in the supply of that product.
D) an increase in the supply of that product.
Question 2
The indirect effect of an increase in the money supply is to
A) increase aggregate demand as people try to spend their excess money balances.
B) increase aggregate demand as interest rates fall and investment spending increases.
C) increase aggregate supply as firms anticipate future profits.
D) decrease the price level.
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Many diesel fuel additives increase the cetane rating which results in improved fuel economy.
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Suppose the market supply curve is p = 5Q. If price increases from 10 to 15, the change in ...
"The Department of Agriculture came out today with its prediction for food price