An increase in the demand for loanable funds increases the equilibrium interest rate and decreases the equilibrium level of saving

If nominal GDP is $12 trillion, the price level is 120, and the quantity of money is $4 trillion, what is the velocity of circulation?

A) 3 B) 2.5 C) 30 D) 25

As firms exit a monopolistically competitive market, profits of existing firms ____ and product diversity in the market ____

a. decline; decreases b. rise; decreases c. rise; increases d. decline; increases