If the price level increases by 5 percent and the nominal wage increases by 3.5 percent, the real wage will decrease by 1.5 percent

Any form of wealth held by a sole proprietor will be factored into the terms of the loans she receives because:

a. her liability is limited. b. her business is inseparable from her. c. her business is too small to bear investment risks. d. her investment decisions depend on her total output.

A market includes

a. buyers only. b. sellers only. c. both buyers and sellers. d. the place where transactions occur but not the people involved.