A downward shift in the Fed's policy reaction function is a ________ of monetary policy, and the aggregate demand curve ________.

Average cost of production is

a. Total variable cost divided by total units produced b. Equal to marginal cost c. Total fixed cost divided by total units produced d. Total cost divided by total units produced

Which of the following offers an example of frictional unemployment?

a. The rise in unemployment for stable workers after the development of gasoline-powered automobiles and the resulting long-tern decline in horse-and-buggy transportation. b. The rise in unemployment among farm workers after harvest. c. Unemployment resulting from the business cycle. d. None of the above are correct.