Free markets coordinate economic activity in such a way as to eliminate the possibility of inflation or unemployment

Assume that automobiles are a normal good. An increase in income will

A. shift the marginal revenue product curve of auto workers to the left. B. move a firm down the marginal revenue product curve of auto workers. C. have no effect on the marginal revenue product curve of auto workers. D. shift the marginal revenue product curve of auto workers to the right.

In 2016 final sales equal $400 billion, and the change in business inventories is $100 billion. GDP in 2016 is

A. $100 billion. B. $300 billion. C. $400 billion. D. $500 billion.