For a given amount of total reserves, a decrease in required reserves causes an increase in excess reserves.

A firm's demand for labor increases and its demand curve for labor shifts rightward if

A) the wage rate falls. B) the price of its product falls. C) its value of marginal product decreases. D) an advance in technology increases the marginal product of labor.

The above figure shows Jane's budget line and two of her indifference curves. How many lobster dinners will Jane purchase each month?

A) 4 lobster dinners B) 5 lobster dinners C) 8 lobster dinners D) 10 lobster dinners