Government laws and policies need to be uniformly enforced. But this leads to all of the following problems, except:

A decrease (leftward shift) in the supply for a good will tend to cause

a. an increase in the equilibrium price and quantity b. a decrease in the equilibrium price and quantity c. an increase in the equilibrium price and a decrease in the equilibrium quantity d. a decrease in the equilibrium price and an increase in the equilibrium quantity e. none of the above.

If the Fed sells a U.S. government bond to a bank, what is the effect on the money supply? a. It will increase

b. It will not change. c. It will decrease. d. It will be uncertain.