Refer to the information provided in the table below to answer the following question.  Table 7.3Refer to Table 7.3. Suppose output varies, ceteris paribus, with labor input in the following manner displayed above. After how many units of labor do diminishing returns set in?

We observe evidence of a shortage when we see

A) the quantity purchased is greater than the quantity supplied. B) the quantity purchased is less than the quantity supplied. C) nonmonetary costs of acquisition have risen. D) goods have becomes more scarce. E) prices have increased suddenly and substantially.

By adjusting its spending level, the government can try to achieve target employment and GDP levels through

a. countercyclical monetary policy b. buying bonds on the open market c. shifting the Phillips curve d. wage and price controls e. countercyclical fiscal policy