When commercial banks borrow reserves from the Fed, the quantity of reserves in the banking system ________ and, ultimately, the money supply ________.

Economies of scale

a. require inputs' MPP to fall as output increases (everything else equal). b. pertain to the long run only. c. refer to increased output generalized by an increase in the quantity of a single input. d. imply that the AC curve will fall continuously as output increases in the short run.

The CPI is a measure of the overall cost of the goods and services bought by a typical consumer

a. True b. False Indicate whether the statement is true or false