An increase in the government budget deficit will not lead to a current account deficit if domestic investment declines

Capture theory is

A) an economic theory of regulation. B) a model about perfect competition. C) the same as the public interest theory. D) the theory that regulators capture firms' attention by dictating a very low price. E) a theory that explains behavior of competitive firms.

If there was no misperception effect, but there was a profit effect in the short run, then SRAS is ____ and LRAS is ____

a. upward sloping: vertical b. upward sloping; upward sloping c. vertical; vertical d. vertical; upward sloping