Refer to above Table 2-1. What is the level of Disposable Personal Income?

Which of the following statements is TRUE?

A) The long-run aggregate supply curve is vertical. B) The short-run aggregate supply curve is vertical. C) The long-run aggregate demand curve is upward sloping. D) The long-run aggregate supply curve is upward sloping.

Which of the following is true in long-run equilibrium for a firm in a monopolistic competitive industry?

A) The demand curve is tangent to marginal cost curve. B) The demand curve is tangent to average cost curve. C) The marginal cost curve is tangent to average cost curve. D) The demand curve is tangent to marginal revenue curve.