A leftward shift in the aggregate supply curve generates a ________ inflation and ________ output.

Why is it better to protect an infant industry with monopoly power with a tariff than a quota?

a. A tariff causes domestic production to increase, whereas a quota causes production to decrease. b. A tariff causes domestic production to decrease, whereas a quota causes domestic production to increase. c. A tariff will raise the domestic price above the world price, whereas a quota will not. d. A quota will raise the domestic price above the world price, whereas a tariff will not.

Assume that a worker in a technology firm can produce 3 circuit boards in an hour. Due to subsequent innovation, he is now able to produce 6 circuit boards per hour. Other things remaining the same, the firm's supply curve is likely to:

A) shift to the left. B) shift to the right. C) become steeper. D) remain unchanged.