The tax increases necessary to fund future Social Security and Medicare benefit payments would be
A) small, but could discourage work effort, entrepreneurship, and investment, thereby slowing economic growth.
B) large, but would have little effect on economic growth.
C) large, and could discourage work effort, entrepreneurship, and investment, thereby slowing economic growth.
D) small, and have little effect on economic growth.
C
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A student is studying for an exam 2 hours a day and is debating whether to study an extra hour. The student's marginal benefit
A) depends on the grade the student earns on the exam. B) is the benefit the student receives from studying all 3 hours. C) is the benefit the student receives from studying the extra hour. D) is greater than the student's marginal cost.
Kate's Great Crete (KGC) is a local monopolist of ready-mix concrete. Its annual demand function is Q = 20,000 - 400P, where P is the price, in dollars, of a cubic yard of concrete and Q is the number of cubic yards sold per year. What is KGC's inverse demand function?
A. P = 20,000 - 400Q B. P = 400 - 20,000Q C. P = 50 - 0.0025Q D. P = 50 - 0.005Q
Suppose you purchased 500 shares of stock in 2013 for $15 a share, and the price now is $20 a share. If you sell the stock, then your capital gain is
A) $2500. B) $1000. C) $10000. D) indeterminate without knowing the inflation rate.
Refer to the information provided in Figure 7.11 below to answer the question(s) that follow. 
Figure 7.11
Refer to Figure 7.11. At Point C, the slope of isoquant q2 = 200 is
A. -2. B. -1/2. C. -1. D. indeterminate from this information.