The subprime mortgage bubble featured ____ leverage and the technology stock bubble featured ____ leverage

Because economic profits are eliminated in the long run in monopolistic competition, to earn an economic profit firms continuously

A) shut down. B) exit the industry. C) innovate and develop new products. D) declare bankruptcy. E) decrease their costs by decreasing their selling costs.

The long-run neutrality of money refers to the fact that in the long run, monetary policy

A) changes only real output. B) changes only the real interest rate. C) changes both real output and the real interest rate. D) has no effect on either real output or the real interest rate.