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If Consumers Often Purchase Pastries to Eat While They Drink

Question 269

Multiple Choice

If consumers often purchase pastries to eat while they drink their cappuccinos at local coffee shops, what would happen to the equilibrium price and quantity of cappuccinos if the price of pastries falls?


A) Both the equilibrium price and quantity would decrease.
B) Both the equilibrium price and quantity would increase.
C) The equilibrium price would increase, and the equilibrium quantity would decrease.
D) The equilibrium price would decrease, and the equilibrium quantity would increase.

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