Question
A technological improvement lowers the cost of producing coffee. At the same time,the Surgeon General states that drinking one cup of black coffee a day
A technological improvement lowers the cost of producing coffee. At the same time,the Surgeon General states that drinking one cup of black coffee a day will cause stomach ulcers. The equilibrium price of coffee will
a) decrease
b) increase
c) remain the same
d) be indeterminate
What letter is correct?
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Economics Today The Macro View
Authors: Roger LeRoy Miller
19th Edition
0134478762, 978-0134478760
