Refer to the graphs shown. Which of the graphs correctly depict the long-run Phillips curve?

In the late 1980s and the early 1990s, the Fed followed a policy of

a. controlling the money supply to stimulate investment b. decreasing interest rates to stimulate investment c. fixing the money supply at a constant rate of growth in order to stimulate investment d. allowing the money supply to increase in order to stimulate international trade e. selling its government bonds in order to reduce the size of the federal government's debt

Which of the following is true of public goods?

a. They can only be supplied by the government. b. They will tend to be supplied efficiently by the private sector when markets are competitive. c. It is difficult to establish a one-to-one link between payment and receipt of such goods. d. From an efficiency standpoint, private markets will tend to supply an excessively large amount of public goods.