A positive externality will cause a market to produce: a. more ...

[pepyto]

A positive externality will cause a market to produce:
 a. more than the efficient equilibrium output level.
  b. iless than the efficient equilibrium output level.
  c. the efficient equilibrium output level.
 d. None of the above.

Question 2

If people have adaptive expectations, the Phillips curve model implies that whenever the actual rate of inflation is higher than the expected rate of inflation:
 a. unemployment will exceed its natural rate.
 b. unemployment will be less than its natural rate.
  c. unemployment will increase.
 d. unemployment will decrease.

[Cheesycrackers]

Answer to Question 1

b

Answer to Question 2

b

[pepyto]

TYSM

[triiciiaa]

Thanks for the timely response, appreciate it