Beef and leather belts are complements in production. If people's concern about health shifts the demand curve for beef leftward, the result in the market for leather belts will be a
A) lower equilibrium price for a leather belt because there is an increase in the supply of leather belts.
B) lower equilibrium price for a leather belt because there is a decrease in the supply of leather belts.
C) higher equilibrium price for a leather belt because there is a decrease in the supply of leather belts.
D) higher equilibrium price for a leather belt because there is an increase in the supply of leather belts.
C
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Assuming that money is neutral, an increase in the nominal money supply would cause
A) an excess supply for goods. B) an increase in the real money supply. C) a fall in the price level. D) a rise in nominal wages.
Refer to the above figure. Which panels could represent the situation if the Fed had engaged in open market operations?
A) Panels A and B B) Panels A and C C) Panels B and C D) Panels C and D