The return to the entrepreneur for organizing, producing, and risk-taking in the operation of the business is

The unemployment rate ________

A) is essentially unchanged over the business cycle B) rises in economic expansions and falls in economic contractions C) falls consistently over both economic expansions and recessions D) varies over the course of the business cycle

Opening trade between a nation that has "cheap labor" and one that has "expensive labor" will

a. lower the standard of living in both countries. b. raise the standard of living in both countries. c. make some workers less efficient. d. lead to an inappropriate allocation of resources.