Unlike in the long-run model, in the short-run - Keynesian model, we make two critical assumptions: that firms adjust production depending on ___ , and that ____

Economic theory assumes people want

A) material goods primarily. B) money in preference to all other goods. C) more of everything. D) to advance the projects in which they are interested. E) what serves selfish rather than altruistic goals.

In the above figure, what is the marginal social cost to the economy of producing the four-hundredth pretzel?

A) $0 B) $2.00 C) $4.00 D) None of the above answers are correct.