When an individual's purchasing power changes due to a change in the price of a good or service, this is referred to as

A firm wants to minimize the total cost of producing 100 tons of dynamite. The firm uses two factors of production, chemicals and labor. The combination of chemicals and labor that minimizes production costs will be found where

A) the marginal products of chemicals and labor are equal B) the ratio of the amount of chemicals used to the amount of labor used equals the ratio of the marginal product of chemicals to the marginal product of labor C) the ratio of the amount of chemicals used to the amount of labor used equals the ratio of the price of chemicals to the wage rate D) the production of an additional unit of dynamite costs the same regardless of whether chemicals or labor are used E) none of the above

Usury laws result in banks making less credit available to lower-income households because

A) higher-income households will pay a higher interest rate than lower-income households. B) loans made to higher-income households have no risk. C) loans to lower-income households are riskier than loans to higher-income households. D) the regulated interest rate does not adequately compensate the bank for the risk of the loan to a lower-income household.