A decrease in the price of a factor of production will lead to an increase in the supply of goods that use the factor in production.

The transactions motive links money demand and

A) interest rates. B) money supply. C) the liquidity trap. D) income.

The ATC curve and the AFC curve for information products (e.g., software) in the short run are

A) downward sloping. B) horizontal. C) upward sloping. D) vertical.