Assume there is no government or foreign sector. If the multiplier is 4, a $20 billion increase in investment will cause aggregate output to increase by

The demand curve for labor indicates that:

a. as the real wage rate increases, employers will hire more workers. b. as the nominal wage rate increases, employers will hire more workers. c. as the nominal wage rate decreases, the real wage rate increases. d. as the real wage rate increases, employers will hire fewer workers. e. as the real wage rate decreases the nominal wage rate increases.

From the demand side, the equilibrium level of GDP is one at which

a. everyone who wants a job has one and firms are not looking for extra workers. b. the only unemployment is frictional. c. aggregate demand equals production. d. the only unemployment is cyclical.