If the national output cannot be increased unless the productive capacity or potential GDP increases, the aggregate supply curve is:

In an open economy, there should be a close positive relationship between

a. budget deficits and interest rates. b. trade deficits and budget deficits. c. savings and investment. d. investment and consumption. e. none of the above.

Barriers to entry include economies of scale and network effects.

Answer the following statement true (T) or false (F)