After 1929 in the United States, as measured by the Lorenz curve, income inequality:

In a perfectly competitive market in the short run, as the market demand increases, the firms ________ their output and their economic profit ________

A) increase; increases B) increase; decreases C) decrease; decreases D) decrease; increases

According to the classical school, the best countercyclical policy for the government to follow is to

a. increase the money supply until money demanded equals money supplied b. cut taxes to stimulate production c. do nothing d. cut government spending to curb inflation e. cut the money supply to curb inflation