The above figure shows Bobby's indifference map for soda and juice. B1 indicates his original budget line. B2 indicates his budget line resulting from a decrease in the price of soda. What change in quantity best represents his substitution effect?

The above table shows Priscilla's marginal utility from the two goods she consumes, pizza and Pepsi. A slice of pizza costs $4 and a can of Pepsi $2. Suppose Priscilla has $12 to spend

If the price of pizza decreases, Priscilla's preferences (her marginal utility schedule) for pizza A) will increase. B) will decrease. C) will not change. D) may increase or decrease depending on what happens to the price of Pepsi.

An expansionary monetary policy lowers the real interest rate, causing the domestic currency to ________, thereby ________ net exports

A) appreciate; raising B) appreciate; lowering C) depreciate; raising D) depreciate; lowering