1. If company doubles its workforce, is output to double too? Explain.:confused:

2. If you graduate with $20,000 in student loans, which type of an economy would make it easier for you to repay them: one with steady prices, one with rising prices (inflation), or one with falling prices (deflation)? Explain. :confused:

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Can't answer your homework questions directly... but I'll get you started.

1. look into diminishing marginal returns