According to the World Bank, nearly 2 billion people are classified as being in ________ poverty.

When the aggregate demand curve and the short-run aggregate supply curve intersect,

A) the economy is in short-run macroeconomic equilibrium. B) inflation must be increasing. C) structural and frictional unemployment equal zero. D) the long-run aggregate supply curve must also intersect at the same point.

An 18 percent increase in the price of small cars results in a 10 percent expansion in the quantity supplied. The supply elasticity in this range equals ________

A) 9/5 B) 5/9 C) 7/10 D) 4/10