The computerization of police departments throughout the country has greatly reduced the crime rate. What macroeconomic variable is likely to be directly affected by this change?

According to the life-cycle hypothesis, as consumers get older ________

A) the marginal propensity to consume out of wealth and income rise B) the marginal propensity to consume out of wealth falls and the marginal propensity to consume out of income rises C) the marginal propensity to consume out of wealth rises and the marginal propensity to consume out of income falls D) the marginal propensity to consume out of wealth and income fall

Losses are important to a competitive price-searcher market (industry) because they send a message to the market participants that

a. more resources should be devoted to a particular industry. b. resources can rise in value if diverted away from that particular industry. c. resources are allocated exactly as they should be. d. the firms should charge lower prices.