Consider the market for portable air conditioners in equilibrium. When a heat wave strikes the equilibrium price
a. and quantity both decrease.
b. and quantity both increase.
c. increases, and the equilibrium quantity decreases.
d. decreases, and the equilibrium quantity increases.
b
Economics
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The _______ rate is the interest rate at which the Fed lends ______ to commercial banks.
A. federal funds rate; deposits B. federal funds rate; reserves C. discount rate; deposits D. discount rate; reserves
Economics
Suppose that when the price of pickles decreases, Teddy increases his purchase of ketchup. To Teddy
A) pickles and ketchup are complements. B) pickles and ketchup are normal goods. C) pickles and ketchup and substitutes. D) pickles are a normal good and ketchup is an inferior good.
Economics