Goods and services are produced by using four factors of production:

Which of the following people is most likely to be classified as "working poor"?

(A) Jim, who is a full-time student with a work-study job in the college library. (B) Carol, a single mother who works 35 hours a week at a job that pays slightly above minimum wage. (C) Jason, who is working part time as a construction worker so he can devote time to starting up a real estate business. (D) Dolores, who has an advanced degree and works 40 hours a week.

Under adaptive expectations theory, a decrease in the short-run aggregate demand curve ____ the inflation rate and ____ the unemployment rate

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