According to Say's law, there can be
A) neither a general overproduction nor a general underproduction of goods.
B) a general overproduction but not a general underproduction of goods.
C) a general underproduction but not a general overproduction of goods.
D) both a general overproduction and a general underproduction of goods.
A
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Suppose Acme and Mega produce and sell identical products and face zero marginal and average cost. Below is the market demand curve for their product. 
Suppose Acme and Mega decide to collude and work together as a monopolist with each firm producing half the quantity demanded by the market at the monopoly price. If Mega cheats on the agreement by reducing its price to $1 while Acme continues to comply with the collusive agreement, then Mega's economic profit will be ________.
A. $150 B. $200 C. $75 D. $100
If the government increased the income tax on the rich and increased transfer payments to the poor, the most likely result would be
a. to increase investment in the economy b. the eradication of poverty c. a rise in the Gini coefficient d. an increase in the economy's rate of economic growth e. a decline in the economy's rate of economic growth
If the federal government has a deficit, and the current account is in balance, then
a. I = S. b. I > S. c. S > I. d. S + I = 0.
In the following graph, the price of capital is $100 per unit. If a firm decides that total cost must not exceed $3,500, what is the maximum amount of output it can produce?
A. 1,000 B. 1,500 C. 500 D. 100 E. none of the above