If a good that generates positive externalities is priced to internalize the externality, then its price will __?__ and its output will __?__

Use the following statements to answer this question

I. To maximize profit, a firm will increase its advertising expenditures until the last dollar of advertising generates an additional dollar of revenue. II. The full marginal cost of advertising is the sum of the dollar spent directly on advertising and the marginal production cost that results form the increased sales that advertising brings about. A) Both I and II are true. B) I is true, and II is false. C) I is false, and II is true. D) Both I and II are false.

An increase in government spending by $100 would, if the MPC = 0.90, result in an increase in real GDP by:

a. $1,000. b. $9,000. c. $900. d. $190. e. inadequate information is given.

Discuss the method of quantitative easing used by the Federal Reserve during the recession of 2008, including any criticisms of this action

"When workers already have a large quantity of capital to use in producing goods and services, giving them an additional unit of capital increases their productivity only slightly.". This statement

a. represents the traditional view of the production process. b. is an assertion that capital is subject to diminishing returns. c. is made under the assumption that the quantities of human capital, natural resources, and technology are being held constant. d. All of the above are correct.