Refer to the graph above which shows the supply and demand for money where Dm1, Dm2, and Dm3 represent different demands for money and Sm1, Sm2, and Sm3 represent different levels of the money supply. The initial equilibrium point is A. What will be the new equilibrium point following an autonomous increase in the asset demand for money?

If General Motors is earning only a normal profit,

a. it is making economic profit b. it is breaking even c. it is suffering an economic loss d. it is covering only explicit costs e. it is covering only implicit costs

Why are the bonds held by the Fed and government agencies excluded from the privately held debt figures?

a. The U.S. Treasury does not have to pay off these bonds. b. These bonds were not issued by the U.S. Treasury. c. These bonds do not create a net-interest obligation for the federal government. d. These bonds are not interest-bearing bonds.