If total spending rises from one year to the next, then the economy must be producing a larger output of goods and services

The use of purchasing power parity prices

A) decreases the real GDP per person statistics published by the International Monetary Fund. B) weakens the validity of cross country comparisons of economic welfare. C) increases the amount by which U.S. GDP is larger than that of any other nation. D) accounts for differences in the prices of the same goods in different countries when measuring real GDP.

According to Coase, the optimal allocation of resources is guided by

a. the decisions of a firm's managers b. market prices when market transaction costs are greater than the firm's internal organization costs c. the decisions of a firm's managers when market transaction costs are greater than the firm's internal organization costs d. the decisions of a firm's managers when market transaction costs are less than the firm's internal organization costs e. entrepreneurs