"Currency appreciation" means the price of the currency is decreasing

A gallon of milk costs $4 in Bonland. If the government fixes the price at $3.50, ________

A) the quantity demanded of milk will fall B) the quantity of milk supplied will increase C) a shortage of milk will occur in the market D) there will be an excess supply of milk in the market

If a factor of production has many close substitutes, we would expect that its price elasticity of demand would be:

A. Unity B. Zero C. Greater than one D. Less than one, but greater than zero