An official agreement with another country in which it agrees to import more from the United States is

A perfectly competitive firm is producing at the point where its marginal cost equals its marginal revenue. If the firm boosts its output, its total revenue will

A) rise and its total variable cost will rise even more. B) rise and its total variable cost will rise, but not by as much. C) fall but its total variable cost will rise. D) fall and its total variable cost will fall, but not by as much.

The aggregate demand curve is downward-sloping because, other things being equal,

A. People buy more goods and services at higher average prices. B. People buy fewer goods and services at lower average incomes. C. A higher average price level will induce producers to offer more output than otherwise. D. People buy more goods and services at lower average prices.