If there is a surplus in the market for loanable funds, then the interest rate
a. rises, so national saving rises.
b. rises, so national saving falls.
c. falls, so national saving rises.
d. falls, so national saving falls.
d
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The economy pictured in the figure has a(n) ________ gap with a short-run equilibrium combination of inflation and output indicated by point ________. 
A. recessionary; A B. recessionary; C C. recessionary; B D. expansionary; A
When a firm is experiencing economies of scale
A) the MP curve slopes upward. B) the LRAC curve slopes downward. C) diminishing returns to labor have been suspended. D) the MC curve slopes downward.
The demand curve for labor is negatively sloped only because the firm must lower its price if it wishes to sell more output
Indicate whether the statement is true or false
Market exchange usually benefits
a. both consumers and buyers, but not sellers b. both consumers and producers c. only consumers d. only employees e. only producers