Assume That Pizza and Tacos Are Substitutes, and the Price

question 69

Multiple Choice

Assume that pizza and tacos are substitutes, and the price of a pizza increases. Which of the following correctly indicates what happens?

• A) The demand for pizza decreases and the demand for tacos increases.
• B) The quantity of tacos demanded increases and the quantity of pizza demanded decreases.
• C) The quantity of pizza demanded decreases and the demand for tacos increases.
• D) The demand for each decreases because both are normal goods.
• E) The demand for both goods decreases.

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