If the value of the consumer price index is 110 in 2005 and 121 in 2006, then the inflation rate is 11 percent for 2006

Those who believe that the federal government should make it a priority to balance its budget argue that

A. Running a budget deficit is never justifiable. B. Budget deficits cause real interest rates to be too low. C. Government debt incurred today will lower the living standards of future generations. D. Government debt held in private hands is a danger to national security. E. Taxes should always be assessed at the level of aggregate demand.

If a nation does not have an absolute advantage in producing anything, it a. can have no comparative advantage either

b. will have a comparative advantage in the activity in which its disadvantage is the least. c. will benefit if it refuses to trade. d. will export raw materials and import finished products.