Q. What will happen to the equilibrium price and quantity of peanut butter if peanuts increase in price andthe price of jelly decreases? (Solved)
1. the equilibrium price and quantity increase
2. the equilibrium price will fall and the equilibrium quantity will be indeterminate
3. the equilibrium price will rise and the equilibrium quantity will be indeterminate
4. None of above
- c. the equilibrium price will rise and the equilibrium quantity will be indeterminate