As part of the "exchange rate effect of monetary policy," a lower money supply causes a __________ interest rate and thus __________ of the domestic currency

The law of comparative advantage says that a person should produce a good if she

a. has the greatest desire to consume that good b. has the lowest opportunity cost of producing that good c. has an absolute advantage in a related activity d. has a comparative advantage in a related activity e. is equally good at producing this good as someone else is

A firm's cost can decrease for each of the following reasons, EXCEPT:

a. an increase in productivity due to experience. b. an improvement in productivity of capital employed. c. an improvement in work environment and quality of management. d. an increase in input prices.