If two nations have different per capita income levels and their rates of economic growth are identical, then the absolute per capita income differential:

A change in financial technology that reduces the need to hold cash balances ________ the demand for money and ________ the equilibrium nominal interest rate

A) increases; raises B) decreases; lowers C) increases; lowers D) decreases; raises E) decreases; does not change

The decision to innovate

A) depends on the marketing department's needs. B) depends on whether the firm wants to benefit its customers. C) is based on the marginal cost and the marginal revenue of innovation. D) is unnecessary in a monopolistically competitive market. E) None of the above answers is correct.