Referring to Figure 19.2, the effect of a decrease in Japanese interest rates is represented by a movement from point

(Last Word) The inverse dependency ratio is predicted to fall to about 1.16 by 2050. What is the most likely effect of this decline?

A. It will likely cause worker productivity to decline. B. The Social Security system will be on stronger financial footing. C. Innovation will increase significantly as dependents take advantage of their otherwise idle time. D. Living standards will fall if productivity gains don't sufficiently offset the decline in the ratio.

Which of the following statements are true?

A. In the long run the monopolistic competitor is as efficient as the perfect competitor. B. The demand curve of a monopolistic competitor is more horizontal (flatter) than a monopolist's demand curve. C. In the long run the monopolistic competitor will definitely make a profit. D. The demand curve of a monopolistic competitor is identical to its marginal revenue curve.