Stagflation is defined as an unhealthy combination of a stagnating economy and high inflation

Suppose that consumer income decreases and that hamburger is an inferior good. Which of the following will occur in the market for hamburger?

A) Market clearing price will rise, and equilibrium quantity will rise. B) Market clearing price will fall, and equilibrium quantity will fall. C) Market clearing price will rise, and equilibrium quantity will fall. D) Market clearing price will fall, and equilibrium quantity will rise.

Suppose the following situation exists for an economy: Kt+1/N > Kt/N. Given this information, we know that

A) saving per worker equals depreciation per worker in period t. B) saving per worker is less than depreciation per worker in period t. C) saving per worker is greater than depreciation per worker in period t. D) the saving rate fell in period t. E) none of the above