A reduction in sales will generally cause A) an increase in ...

[anjilletteb]

A reduction in sales will generally cause
 
  A) an increase in profit per unit of capital.
  B) a decrease in profit per unit of capital.
  C) no change in profit per unit of capital.
  D) ambiguous effects on profit per unit of capital.
  E) none of the above

Question 2

Empirically it takes nearly ________ years for monetary policy to have its full effect on output.
 
  A) 2
  B) 1
  C) 3
  D) 4

[krakiolit]

Answer to Question 1

B

Answer to Question 2

A