According to the above table, the marginal factor cost of the seventh worker is

If the economy is above full employment, there is ________ gap, and as the economy adjusts toward full employment, the price level ________

A) a recessionary; rises B) an inflationary; falls C) a recessionary; falls D) an inflationary; does not change E) an inflationary; rises

Suppose the market price exceeds the typical perfectly competitive firm's short-run average total cost. What will happen to this market in the long run?

a. The market demand curve will shift to the left as firms exit. b. The market supply curve will shift to the left as firms exit. c. The market demand curve will shift to the right as firms enter. d. Both the market demand and supply curves will shift to the left as firms exit. e. The market supply curve will shift to the right as firms enter.