Economics alone cannot determine the best way to balance the goals of efficiency and equity

Which of the following is true? a. In equilibrium, with only two countries, the excess demand for loanable funds in one country will equal the excess supply of loanable funds in the other. b. Countries with net capital inflows tend to be few or no capital outflows

c. Capital flows will tend to decrease real interest rates in countries with a capital inflow. d. Both a. and c. are correct.

Explain the difference between a movement along a given output-per-laborer (or labor productivity) curve and a shift to a new output-per-laborer curve