An increase in the inflation rate increases employment only if the increase in inflation is unexpected

Even when a particular monetary asset is not performing one of the functions of money well, people still use the asset because

A) once an asset is defined as money it is always money. B) people expect money will come back at a later date. C) they have no choice. D) it is still easier than relying on barter.

If the opportunity costs of production for two goods is different between two countries, then

A) only one country can be made better off by trade. B) trade will only benefit both countries if one can lower its opportunity costs. C) trade cannot benefit either country. D) mutually beneficial trade is possible.