A firm's long-run average cost curve represents the minimum cost of producing each level of output when the scale of production can be adjusted.

The aggregate money demand depends on

A) the interest rate. B) the price level. C) real national income. D) the interest rate, price level, and real national income. E) the price level and the liquidity of the asset.

Suppose demand increases and supply increases. Which of the following will happen?

a. equilibrium price will increase b. equilibrium price will decrease c. equilibrium quantity will increase d. equilibrium quantity will decrease e. neither the equilibrium price nor the equilibrium quantity will change