Refer to the graph shown. A decrease in aggregate demand in the short run is likely to cause a movement from:

A payment over and above that necessary to call forth a resource is called

a. profit b. rent c. taxes d. salary e. welfare

If the real interest rate is 5 percent and the inflation rate is 2 percent, then the nominal interest rate is 7 percent

a. True b. False Indicate whether the statement is true or false