1)Long-term economic growth can be enhanced by:

A) investment in higher education B) investment in infrastructure

C) technological progress

D) all of the above

2)

6. The figure below depicts the graphs of the long-run price-setting curve and the mark-up at which firm entry and exit are both zero. Output per Real wage Price-setting curve jow u") Price-unting curw (mediump) Price setting curve (high p'} W= 1- hichur medium u' Markup, " Employment A) An increase in the degree of competition in the economy will lower the price-setting curve. B) Lower worker productivity leads to a higher price-setting curve for a given mark-up u*. C) Higher risk of expropriation of businesses overseas results in a higher price-setting curve. D) A lower interest rate leads to a lower price-setting curve