Vertical equity refers to the notion that individuals at all levels should be taxed equally

Consider the market for peanut butter. If there is an increase in the price of peanuts,

A) there is a decrease in the supply of peanuts. B) there is a decrease in the demand for peanut butter. C) there is an upward movement along the supply curve for peanut butter. D) there is a decrease in the supply of peanut butter. E) the supply curve for peanuts shifts rightward.

In the figure above, ceteris paribus, an increase in x is associated with

A) an increase in y. B) a decrease in y. C) an increase in z. D) a random change in z. E) no change in either y or z.