If you agree to a long-term loan at a specified nominal rate of interest and inflation turns out to be higher than was anticipated,

A positive economic statement concerns

a. an opinion on an economic issue that should be taken b. an economic activity that has a positive effect on the economy c. a statement of fact d. a macroeconomic issue or position e. a microeconomic issue or position

Which of the following statements is valid when supply is perfectly elastic at a price of $4?

a. The elasticity of supply approaches infinity. b. The supply curve is vertical. c. At a price below $4, quantity supplied is infinite. d. At a price above $4, quantity supplied is zero.