According to the Law of Diminishing Marginal Returns, as additional units of one input are employed as all other inputs are held constant, total output will eventually ______.

Suppose there is an increase in the short-run aggregate supply with no change in the long-run aggregate supply. This situation could be the result of

A) an increase in the price of oil. B) a decrease in the money wage rate. C) a technological advancement. D) an increase in the quantity of capital.

The requirement that all drivers must carry auto insurance reduces

A) moral hazard. B) the effectiveness of signaling. C) adverse selection. D) the chance of auto accidents.