Use the figure below to answer the following questions. 
Figure 3.5.2
Original equilibrium at 1.
-Refer to Figure 3.5.2,which represents the market for tacos.A new scientific study reveals that tacos cause bad breath.Simultaneously,the cost of producing tacos decreases.What is the new equilibrium,ceteris paribus?
Definitions:
U.S. Monetary Policy
The Federal Reserve's actions, involving the control of interest rates and the total supply of money in circulation, aimed at achieving macroeconomic objectives such as controlling inflation, consumption, growth, and liquidity.
Real Interest Income
The interest income adjusted for inflation, representing the true purchasing power of interest earnings over time.
Nominal Interest Income
The amount of money earned from interest before adjusting for inflation; it does not account for the purchasing power of the interest income.
Monetary Policy
Monetary policy involves the management of a nation's money supply and interest rates by its central bank to control inflation, manage employment, and stabilize the currency.
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