For constant returns to scale, a(n) ________ in a firm's scale of production leads to ________ average total cost.

The negative slope of the aggregate demand curve is caused by:

a. the real balances effect, the interest rate effect, and the price level effect. b. the real balances effect, the money supply effect, and the net exports effect. c. the interest rate effect, the net exports effect, and the real GDP effect. d. the real balances effect, the interest rate effect, and the net exports effect. e. the real balances effect, the interest rate effect, and the net export effect.

In the long run, monopolistically competitive firms produce where demand equals marginal cost

a. True b. False Indicate whether the statement is true or false