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A Bakery Can Produce Either Cakes or Cookies

Question 10

Multiple Choice

A bakery can produce either cakes or cookies. If the price of cookies rises, then


A) there is a movement upward along the supply curve of cakes.
B) there is a movement downward along the supply curve of cakes.
C) the supply curve of cake shifts rightward.
D) the supply curve of cake shifts leftward.

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