A nation's growth rate will most likely ________ as it converges to a new, higher balanced growth path

In the last three decades of the 19th century, the long-run supply track of farm prices

(a) indicates a decline in farm prices due to a slowly increasing demand and a more rapidly increasing supply. (b) indicates a decline in farm prices due to a slowly increasing supply and a more rapidly increasing demand. (c) indicates an increase in farm prices due to a slowly increasing supply and a more rapidly increasing demand. (d) indicates relatively constant prices due to the fact that supply and demand were both increasing at about the same rate.

Suppose the marginal propensity to consume (MPC) is 0.9 and there is a $3,000 increase in planned investment. Given this information, real GDP will increase by

A) $3,000. B) $2,700. C) $30,000. D) $3,333.