If consumption spending increases because people feel more confident about the future,
A) aggregate demand will shift to the left.
B) aggregate demand will shift to the right.
C) aggregate supply will shift to the left.
D) aggregate supply will shift to the right.
Question 2
Given that Sandy can produce 10 economics reports or 2 sales calls and Tim can produce 2 economics reports or 1 sales call, which of the following is FALSE?
A) Sandy has a comparative advantage in sales calls.
B) Tim has a comparative advantage in sales calls.
C) Sandy has a comparative advantage in economics reports.
D) Sandy has an absolute advantage in both economics reports and sales calls.