If taxes are less than transfers plus government spending, then
A) there is positive saving.
B) there is a balanced budget.
C) there is a budget surplus.
D) there is public dissaving.
Answer: D
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What will be an ideal response?
If the rate of interest is fixed, a profit-maximizing firm will employ capital up to the quantity where MRP = interest rate
Indicate whether the statement is true or false
Because there are positive externalities from higher education,
a. private markets will under-supply college classes. b. private markets will over-supply college classes. c. the government should impose a tax on college students. d. government intervention cannot improve the market for college classes.
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A) $4,800; $4,000; declined B) $300; $1,000; risen C) $4,800; $4,000; risen D) $1,204; $2,002; risen