If a perpetuity has a price of $500 and an annual interest payment of $25, the interest rate is

If John's willingness to pay for a good is $20 and the price of the good is $15, how much is John's consumer surplus from purchasing the good?

Starting from long-run equilibrium, if the public anticipates that policymakers will increase aggregate demand by less than policymakers do increase aggregate demand, and if the short-run aggregate supply curve fully adjusts to the (incorrectly) anticipated increase in aggregate demand, then Real GDP will __________ and the price level will __________

A) rise; rise B) decline; fall C) stay constant; rise D) decline; rise