Increase in consumer confidence will ________ the expenditure curve:

With a linear production function in labor only, which of the following must be true?

A) The representative household works as much as possible. B) The representative firm makes large profits. C) The real wage equals total factor productivity. D) The marginal product of labor exceeds the real wage.

Money’s function as a unit of exchange means that ______.

a. Jorge can compare the value of apples to the value of a new lamp b. Michael can deposit money into an account where it will be safely stored until a later date. c. Kelly can pay for her lunch using the $20 bill in her wallet. d. Calista can pay back a loan at a future date without risking great fluctuations in the value.