Refer to the Article Summary. The unexpected increase in the supply of oil mentioned in the article summary resulted in a decrease in the price of oil.
After an unexpected decrease in the price of oil, the long-run adjustment ________ the price level and ________ the unemployment rate as they return to their original levels.
A) increases; increases B) decreases; increases
C) increases; decreases D) decreases; decreases
Question 2
A bond is a financial security that represents a promise to repay
A) a yearly interest payment and a principal payment.
B) a yearly principal payment only.
C) a yearly interest payment only.
D) Bonds are investments that do not promise any kind of repayment.
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