Suppose two variables are directly related. If one variable rises, then the other variable:

In the permanent-income hypothesis incorporating rational expectations, the short-run MPC is high when changes in current income

A) are small. B) are considered a good predictor of future income changes. C) are considered a poor predictor of future income changes. D) occur when the economy is nearing cyclical peaks or troughs.

In colonial America, work

(a) was required, at least for the lower classes, even for whites not bound in servitude. (b) was required of all classes, wealthy or poor, slaves or free. (c) was the decision of the individual, like it is today, except for slaves and indentured servants. (d) was thought to be for the "colored" races, with white folks exploiting their labor.