If a country produces only two goods, then it is not possible to have a comparative advantage in the production of both those goods

Assume there is a reduction in the shipments of petroleum products due to political tension in the Persian Gulf. In a market economy, which consumers would get the reduced supplies of gas?

A) The consumers who value gasoline the most and are able to pay for it. B) Wealthy consumers. C) Lower income consumers. D) Who gets the gasoline would be a random process. Those who arrive at the service station first will get the gasoline, regardless what its price is.

Monetarists' preference for reduced-form models is based on their belief that

A) reverse causation is a problem. B) structural models may understate money's effect on economic activity. C) money supply changes are always endogenous. D) monetary policy affects only investment spending.