1. The market for com is in equilibrium. Which of the following is most likely to INCREASE the equilibrium price of com a bountiful harvest A) B) increasing production of com-based ethanol C) decreasing household incomes, with com being a normal good D) a decrease in the price of wheat, a substitute in consumption 112. A competitive market occurs when there are many buyers and sellers of the same good. A) True B) False 113. Good X and good Y are related. If the price of good X increases and the demand for good Y shifts left, these goods are: A) complements. B) substitutes. C) inferior. D) normal. 114. Milk is an important ingredient in the production of ice cream. If the price of milk increases, then one would expect, holding all other things constant: A) the supply curve for ice cream to shift left. B) the supply curve for ice cream to shift right. C) no change in the supply curve for ice cream. D) a movement along the supply curve for ice cream curve, resulting in more ice cream supplied. 115. Suppose people expect the price of MP3 players to rise next year. As a result of this expectation, people will most likely A) purchase fewer MP3 players this year. 1) observe higher prices for MP3 players this year. C) purchase the same amount of MP3 players, since this expectation will have no Dy effect on consumers this year. decide to wait and purchase the MP3 players next year.