An increase in production of one good will have zero opportunity cost only if the economy initially existed at a point inside the production possibilities curve

Several studies have shown promising links between green tea consumption and cancer prevention. How does this affect the market for green tea?

A) The quantity of green tea demanded decreases because this new information will increase the price of green tea. B) The green tea demand curve shifts to the right because of a change in tastes in favor of green tea. C) The green tea demand curve shifts to the left because this new information will increase the price of green tea. D) The quantity of green tea demanded increases because of a change in tastes in favor of green tea.

If the price level decreases, what will happen to the level of real GDP supplied?

a. It will usually decrease. b. It will usually increase. c. Nothing. d. It will decrease at first and then increase.