If real wages fall as output rises, then in the classical model it must be the case that

Increasing opportunity cost along a bowed-out production possibilities frontier occurs because

A) of inefficient production. B) of the scarcity of factors of production. C) of ineffective management by entrepreneurs. D) some factors of production are not equally suited to producing both goods or services.

In the simple accelerator theory an

A) increase in actual sales will always lead to an increase in investment. B) increase in actual output will not lead to an increase in expected sales. C) increase in actual sales will lead to an increase in replacement investment. D) increase in the size of the increase in actual sales will lead to an increase in next period's net investment.