When there is an inflationary gap:
a. Employment exceeds full employment
b. Employment equals full employment.
c. Employment is less than full employment.
d. Any of the above is possible.
a
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Consider the following production table: Labour Capital Output (i) 1,000 1,000 10,000 (ii) 2,002 2,000 20,010 Assuming that the production function displays constant returns to scale, what is the marginal product of labour when labour and capital are both equal to 1,000?
A. 1 B. 5 C. 10 D. 20
Refer to the information provided in Figure 9.7 below to answer the question(s) that follow. 
Figure 9.7 Refer to Figure 9.7. This increasing cost industry's ________ would be found by drawing a line from points B to E.
A. long-run demand curve B. long-run supply curve C. marginal revenue curve D. marginal cost curve
Starting from long-run equilibrium, an increase in autonomous investment results in ________ output in the short run and ________ output in the long run.
A. lower; potential B. higher; higher C. lower; higher D. higher; potential
C/D is the currency drain ratio and R/D is the desired reserve ratio. The money multiplier equals
A) . B) . C) . D) . E) .