The table above shows some of the costs for a perfectly competitive firm. The firm will produce 9 units of output if the price per unit is

An increase in the inflation rate results in ________ in the quantity of real GDP demanded because a higher price level ________

A) an increase; increases consumption and investment B) a decrease; increases consumption and investment C) a decrease; reduces consumption and investment D) an increase; reduces consumption and investment

Complete the following table assuming that (a) MPS = 1/5, (b) there is no government and all saving is personal saving.