"Ceteris paribus" is a Latin expression that essentially means "holding everything else constant."

A continuing, long-term, large decline in the demand for coffee will not cause the price of coffee to fall much over the years if

A) coffee is not scarce. B) the demand for coffee is highly elastic. C) the demand for coffee is highly inelastic. D) the supply of coffee is highly elastic. E) the supply of coffee is highly inelastic.

An example of automatic fiscal policy is

A) the unemployed automatically become eligible for unemployment benefits when they lose their jobs in a recession. B) when interest rates automatically fall in a recession. C) Congress passes a law during a recession that automatically extends unemployment benefits for those whose benefits will soon expire. D) a and b E) a, b and c