Use the Information Below to Answer the Following Questions

question 110

Multiple Choice

Use the information below to answer the following questions.
Fact 3.5.1
The market for coffee is initially in equilibrium.Pepsi is a substitute for coffee;cream is a complement of coffee.Consider the market for coffee.Assume that all ceteris paribus assumptions continue to hold except for the event listed.
-Refer to Fact 3.5.1.A technological improvement lowers the cost of producing coffee.At the same time,preferences for coffee decrease.The equilibrium quantity of coffee

• A)increases.
• B)decreases.
• C)remains the same.
• D)increases or decreases depending on whether the price of coffee falls or rises.
• E)increases,decreases,or remains the same depending on the relative shifts of the demand and supply curves.

---

Definitions:

Morally Wrong

Actions or behaviors that are in violation of ethical or moral principles.

Outgroup Homogeneity Bias

The tendency to view members of an outgroup as more similar to each other than members of one's ingroup.

UCLA

The University of California, Los Angeles, a public research university located in the Westwood district of Los Angeles, California.

USC

A shortened reference to the University of Southern California, a major research university located in Los Angeles, known for its academic and athletic programs.