Holly reads that the US unemployment rate is 9.5% in August. She knows that there are labor ____ and that wages will eventually ____

A surplus quantity will occur when

a. quantity demanded is greater than quantity supplied. b. price is above equilibrium. c. demand is elastic. d. price is below equilibrium.

Starting from a long-run equilibrium, an increase in government expenditures increases output in the short run but not in the long run.

Answer the following statement true (T) or false (F)