If the price of leather (an input for leather shoes) increases, the equilibrium price of leather shoes will increase and the equilibrium quantity of leather shoes will decrease

Differences in marginal revenue products among workers can help explain the presence of wage differentials

a. True b. False

If there is a shortage in the market for loanable funds, what happens to desired saving and desired investment as the interest rate moves to its equilibrium value?

a. desired saving and desired investment both fall b. desired saving and desired investment both rise c. desired saving falls and desired investment rises d. desired saving rises and desired investment falls