If the market for beef cattle was initially in equilibrium, an increase in the price of the feed grains used to fatten cattle would cause
a. the demand for beef cattle to increase, driving the price of beef upward
b. the supply of beef cattle to decline, driving the price of beef upward in the long run
c. the supply of beef to increase, placing downward pressure on the price of beef in the long run
d. both supply and demand to fall, leaving the price of beef virtually unchanged
e. the supply of beef to increase, driving the price of beef down and increasing demand
B
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If the Fed reduces the supply of bank reserves, ________
A) investment increases B) consumption increases C) the federal funds rate increases D) the federal funds rate falls
Use a figure to explain the potential effectiveness of fiscal policy to spur on the economy under a fixed exchange rate
What will be an ideal response?