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Author Question: In the above figure, the shift in the demand curve from D to D2 can be the result of A) an ... (Read 41 times)

wrbasek0

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In the above figure, the shift in the demand curve from D to D2 can be the result of
 
  A) an increase in the price of soda, a complement to pizza.
  B) a decrease in the supply of pizza that raises the price of pizza.
  C) an increase in income if pizza is a normal good.
  D) a change in quantity demanded.
  E) an increase in the price of a sub sandwich, a substitute for pizza.

Question 2

If a 1 million open market purchase by the Fed generates a new deposit at a bank that immediately causes the bank's reserves held at the Fed to increase by 1 million, then the T-account effects are that the bank's assets and liabilities ________ by
 
  1 million and that the Fed's assets and liabilities ________ by 1 million.
  A) increase; decline B) decline; decline C) increase; increase D) decline; increase



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briezy

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Answer to Question 1

A

Answer to Question 2

C




wrbasek0

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Reply 2 on: Jun 30, 2018
Thanks for the timely response, appreciate it


FergA

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Reply 3 on: Yesterday
Excellent

 

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