When an agent attempts to reveal information to the principal, which of the following is occurring?

The unemployment rate will decrease when

A) people get discouraged and quit looking for work. B) the age of the labor force increases. C) the average workweek falls from 40 to 39 hours. D) the duration of unemployment increases.

When a commercial bank borrows from a Federal Reserve bank,

a. the commercial bank's reserves are reduced. b. the commercial bank's lending ability is increased. c. the money supply automatically declines. d. the net worth of the bank will decline, indicating that the bank is having financial difficulties.