Suppose the short-run production function is q = 10 ? L. If the wage rate is $10 per unit of labor, then AVC equals

Which of the following statements is CORRECT?

A) When demand increases, both the price and the quantity increase. B) When demand decreases, the price rises and the quantity decreases. C) When supply increases, the quantity decreases and the price rises. D) When supply decreases, both the price and the quantity decrease.

In 2007, remittances from illegal immigrants in the United States to Mexico

A. continued to rise despite increased crackdowns on illegal immigration. B. continued to rise because of the decrease in enforcement of immigration laws. C. began to fall because of increased crackdowns on illegal immigration. D. began to fall despite a decrease in enforcement of immigration laws.