A fall in the price of a good causes an increase in its:

Suppose 10 workers jointly own and farm a piece of land. They all consume the farm's output in equal shares. If one worker decides to shirk and cuts her labor effort by 50 percent,

a. her consumption will decrease by 50 percent. b. her consumption will decrease by greater than 50 percent. c. her consumption will decrease by less than 50 percent. d. her consumption will not change.

If the Fed raises the interest rate, this will ________ inflation and ________ real GDP in the short run

A) reduce; raise B) increase; lower C) increase; raise D) reduce; lower