How will an increase in the government budget surplus as a result of lower government spending (with no change in net taxes) affect private saving in the economy?
A) Private saving will increase by the amount of increase in the budget surplus.
B) Private saving will be unaffected by the increase in the budget surplus.
C) Private saving will decrease by less than the amount of increase in the budget surplus.
D) Private saving will decrease by the amount of increase in the budget surplus.
C
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In the above figure, the market is at its equilibrium. Area B is equal to
A) consumer surplus. B) total revenue. C) marginal benefit. D) producer surplus. E) total surplus.
Suppose an economy has an increase in labor input of 60 percent, while output has increased by 100 percent. Assuming no change in total factor productivity, calculate the percentage increase in the capital input
(Use the Cobb-Douglas production function Y = A .)
The concept of trade-offs would become irrelevant if
A. we were dealing with a very simple, one-person economy. B. scarcity were eliminated. C. poverty were eliminated. D. capital were eliminated.
Refer to the information provided in Figure 13.9 below to answer the question(s) that follow. 
Figure 13.9 Refer to Figure 13.9. If Ohio Edison engages in rent-seeking behavior to maintain their monopoly, the true ________ is BEC and the portion of area FGBE that pays for the rent-seeking behavior.
A. net social gain from monopoly B. consumer surplus C. producer surplus D. net social cost of monopoly