Over the past year, output grew 4%, capital grew 2%, and labor grew 1%. If the elasticities of output with respect to capital and labor are 0.3 and 0.7, respectively, how much did productivity grow?

If the Fed buys bonds from a private bank, ________

A) the Fed's total liabilities will remain unaffected B) the Fed's total assets will remain unaffected C) the private bank's composition of assets will change D) the private bank's total assets will increase

If consumers' confidence in the economy rises

A) aggregate demand will shift rightward and the price level will rise. B) aggregate demand will shift leftward and the price level will fall. C) aggregate demand will shift rightward and the price level will fall. D) aggregate demand will shift leftward and the price level will rise.