When McDonald's Runs a Special for Hamburgers Reducing the Price

question 417

Multiple Choice

When McDonald's runs a special for hamburgers reducing the price of Big Macs to $0.99 with all other factors held constant

• A) there is likely to be an increase in the quantity of Taco Bell's Chalupas demanded assuming Big Macs and Chalupas are substitutes.
• B) there is likely to be a decrease in demand for Taco Bell's Chalupas assuming Big Macs and Chalupas are substitutes.
• C) there is likely to be an increase in demand for Taco Bell's Chalupas assuming Big Macs and Chalupas are substitutes.
• D) there is likely to be an increase in demand for McDonald's Big Macs assuming Big Macs and Chalupas are substitutes.

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Definitions:

Lions Hunt

A cooperative behavior exhibited by lions, primarily by the females of a pride, to strategically capture prey to feed the group.

Fitness Payoffs

The benefits in terms of survival and reproduction that an organism gains from a particular behavior or trait.

Selfishness

The act of placing one's own needs or desires above the welfare of others.

Lions Hunt

The cooperative behavior displayed by lions when pursuing and capturing prey to ensure survival of the pride.