Morgan graduates from college and gets a job paying $50,000 a year. While in school, she consumed 4 pounds of chicken and 1 pound of shrimp a month. After she starts work, she consumes 2 pounds of chicken and 3 pounds of shrimp a month
If everything else is held constant, we know that A) chicken and shrimp are normal goods for Morgan.
B) chicken is an inferior good and shrimp is a normal good for Morgan.
C) chicken is an inferior good for Morgan.
D) shrimp is a normal good for Morgan.
B
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Which of the following is a correct statement regarding the balance sheet of the Federal Reserve?
A) Fed assets = Fed liabilities + Federal Reserve notes B) Fed assets = Fed liabilities + Fed capital accounts C) Fed assets = Fed liabilities + bank reserves D) Fed assets = bank reserves + Federal Reserve notes outstanding
If oranges were found to cure cancer,
A) the equilibrium price of apples would likely fall. B) the equilibrium price of oranges would likely increase in the near term. C) the equilibrium quantity of oranges would likely increase. D) All of the above.