A demand relationship that is a vertical line up from the quantity axis is

If we produce one more bottle of water:

a) we incur a marginal cost. b) the marginal social benefit from bottled water increases. c) the price must rise. d) we must move away from equilibrium e) we act efficiently.

Over time, the wealth of society increases and payments technologies get more efficient. What is the effect on money demand of these two changes?

A) Money demand rises proportionately to the rise in wealth. B) Money demand rises, but less than proportionately to the rise in wealth. C) The overall effect is ambiguous. D) Money demand declines.