If the labor demand curve shifts to the right due to a government ...

[bb]

If the labor demand curve shifts to the right due to a government policy during a recession, and if wages are flexible, ________.
 
  A) real wages will increase B) real wages will decrease
  C) prices will fall D) unemployment will increase

Question 2

One of the economic costs of holding currency is that
 
  A) it fulfills no transactions role. B) it fulfills no precautionary role.
  C) its real value always increases. D) it earns no interest income.

[bobsmith]

Answer to Question 1

A

Answer to Question 2

D

[bb]

TYSM

[ryansturges]

Thanks for the timely response, appreciate it