The marginal productivity theory of income distribution was developed by

An economic boom that creates an inflationary gap is usually followed later by

A. falling prices. B. a period of stagflation. C. an increase of potential GDP. D. an increase in aggregate supply.

A firm is experiencing theft problems at its warehouse. A consultant to the firm believes that the dollar loss from theft each week (T) depends on the number of security guards (G) and on the unemployment rate in the county where the warehouse is located (U measured as a percent). In order to test this hypothesis, the consultant estimated the regression equation T = a + bG + cU and obtained the following results: Based on the above information, a one percent increase in the level of unemployment in the county results in an increase in losses due to theft of ________ more losses per week.

A. $460 B. $75 C. $211 D. $280