Refer to the information provided in Figure 32.2 below to answer the question(s) that follow. Figure 32.2Refer to Figure 32.2. According to the ________ economists, under rational expectations an expected decrease in taxes would not change AD or AS.

On the 45-degree line diagram, for points that lie below the 45-degree line

A) planned aggregate expenditure is less than GDP. B) planned aggregate expenditure is greater than GDP. C) planned aggregate expenditure is equal to GDP. D) planned aggregate expenditure is less than aggregate income.

When a perfectly competitive firm is in long-run equilibrium, it and all other firms are on the lowest point of their average cost curves

Indicate whether the statement is true or false