The branch of economics which studies how households and firms make choices, interact in markets, and how government attempts to influence their choices is called

Potential output is

A. the level of real GDP that exists when the economy is experiencing only frictional and cyclical unemployment. B. the level of real GDP that exists when the quantity of labor supplied is equal to the quantity of labor demanded. C. the level of real GDP that exists when the actual rate of unemployment is zero. D. the level of real GDP that exists when the economy is experiencing only cyclical and structural unemployment.

With more job training and more scholarships to poor American students, which special factor of production is likely to grow faster than in the past?

What will be an ideal response?