Refer to the figure. Assuming this market is representative of the economy as a whole, a negative demand shock will:





A.  cause inflation.

B.  increase unemployment.

C.  lower prices but leave output unaffected.

D.  reduce both prices and output.

C.  lower prices but leave output unaffected.

Economics

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For most consumers, blu-ray players and blu-ray discs are likely to be:

A) substitute goods. B) complementary goods. C) inferior goods. D) independent goods.

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In October 2012, the largest liability of the Fed was

A) currency in circulation. B) reserves. C) discount loans to banks. D) vault cash.

Economics