Refer to the above figure. Which panel represents a monopolistic competitor that is earning zero economic profits?

All else equal, as the capital stock increases, the marginal product of capital will

A) increase at an increasing rate. B) increase at a decreasing rate. C) decrease at an increasing rate. D) decrease at a decreasing rate.

If the world supply curve is SW0,

A. domestic quantity supplied is unrelated to domestic quantity demanded. B. domestic quantity supplied exceeds domestic quantity demanded. C. domestic quantity supplied equals domestic quantity demanded. D. domestic quantity supplied is less than domestic quantity demanded.