The supply curves for labor and capital are ________ and the demand curves for labor and capital are ________

Assume prices for corn and soybeans have been in decline over the last few months. What are the market impacts of the decline in the price of corn and soybeans on the fed cattle market that uses products from those grains as feed?

A. Increase in the price and a decline in the quantity of fed cattle; B. Increase in the price and an increase in the quantity of fed cattle; C. Decline in the price and a decline in the quantity of fed cattle; D. Decline in the price and an increase in the quantity of fed cattle.

Policy makers who believe that the costs of unemployment are very high will tend to favor which of the following during a recessionary gap?

a. moderate fiscal stimulus, no monetary stimulus b. fiscal and monetary tightness c. moderate monetary stimulus, fiscal tightness d. strong fiscal and monetary stimulus