In the above figure, assuming Firm 1 and Firm 2 are the sole producers in the industry, the industry quantity supplied at price P2 is equal to

Which of the following makes short-term conditional low-interest loans to LDCs?

a. World Bank. b. Agency for International Development (AID). c. Agency for International Finance (AIF). d. International Monetary Fund (IMF).

If the price of capital declines, the consequent output effect would be:

A. greater, the more elastic the demand for the product. B. greater, the less elastic the demand for the product. C. negative. D. of consequence only if capital and labor are used in fixed proportions.