Which of the following is a method for solving the problem of adverse selection?

Demand-pull inflation starts with

A) an increase in aggregate demand. B) a decrease in aggregate demand. C) an increase in potential GDP. D) an increase in aggregate supply. E) a decrease in aggregate supply.

John Maynard Keynes described periods of irrational pessimism and optimism that affect the investment behavior of firms as animal spirits. When considering the investment behavior of firms, animal spirits can be thought of as changes in the

A) actual marginal product of capital. B) capital stock. C) expected marginal product of capital. D) user cost of capital.