If the Federal Reserve raises the discount rate, banks will be inclined to borrow additional reserves and the money supply will increase

If the cross elasticity of demand between good A and good B is negative, then a decrease in the price of good A results in

A) an increase in the demand for good B. B) a decrease in the demand for good B. C) a movement downward along the demand curve for good B. D) an increase in the supply of good B. E) a decrease in the supply of good B.

Suppose in the ice-cream market with 10 firms, the elasticity of market demand is -1, and each firm has a constant marginal cost at $2. The Nash-Cournot equilibrium price is

A) $2. B) $2.2. C) $2.4. D) $2.5.