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

Question 417

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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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