Answer to Question #327288 in Microeconomics for Anonymous

Question

What would you expect to happen to the price of chicken samosas if the price of flour decreased and the price of chicken meat decreased?

1.The equilibrium price will decrease and the equilibrium quantity will be indeterminate.

2.The equilibrium price will decrease and the equilibrium quantity will increase.

3.The equilibrium price will be indeterminate and the equilibrium quantity will increase.

4.The equilibrium price will be indeterminate and the equilibrium quantity will increase.

Answer 1

2. The equilibrium price will decrease and the equilibrium quantity will increase.