When resources are at full capacity, output is less responsive to changes in ____ and the price level is ____

A movement along the consumption function is caused by a change in:

a. the price level. b. autonomous consumption. c. real disposable income. d. the stock of durable goods.

Last year your job at the university cafeteria paid you $9 an hour and the price of a ten-minute long distance call to your girlfriend in California was $4 . This year your cafeteria job pays $9.90 per hour and the ten-minute phone call now costs $4.10 . You are clearly

a. worse off because of inflation. b. worse off because the phone call is now relatively more expensive. c. better off because your wage rate went up. d. better off because the phone call now costs less work.