1) All of the following will occur if the government places an effective price ceiling on candy barsexcept

a) there will be a shortage of candy bars.

b) vendors may discriminate in determining who gets to buy the candy bars.

the quantity supplied of candy bars will be less than the quantity demanded of candy bars.

c) there will be a surplus of candy bars.

d) a black market in candy bars will flourish.

2) When the Fed uses expansionary monetary policy, which of the following is true?

a) Consumer spending and autonomous government spending increase while investment spending decreases.

b) Consumer spending, investment spending, and autonomous government spending decrease

c)Interest sensitive consumer spending, investment spending, and autonomous government spending increase

d)Interest sensitive consumer spending, investment spending, and autonomous government spending increase while net exports decreases due to the change in the value of the dollar

e) Interest sensitive consumer spending, investment spending, and autonomous government spending decrease while net exports increases due to the change in the price level