If the equilibrium price of a good increases and the equilibrium ...

[stephzh]

If the equilibrium price of a good increases and the equilibrium quantity of the good decreases, we can conclude that
 
  A) demand decreased. B) supply decreased.
  C) supply increased. D) demand increased.

Question 2

Which of the following is true?
 
  A) Potential GDP fluctuates around nominal GDP.
  B) Nominal GDP fluctuates around real GDP.
  C) Real GDP never equals potential GDP.
  D) The Okun Gaps are much larger than the Lucas Wedge.
  E) Real GDP fluctuates around potential GDP.

[frejo]

Answer to Question 1

B

Answer to Question 2

E