Refer to the diagrams, in which AD 1 and AS 1 are the "before" curves and AD 2 and AS 2 are the "after" curves. Other things equal, inflation is absent in:

If all education in the United States were provided by private, tuition-charging schools,

A) too much education would be consumed. B) too little education would be consumed. C) the efficient level of education would be provided. D) the government would provide both students and schools with vouchers. E) education would no longer have an external benefit.

Which of the following is a false statement about education in the HPAE?

A) An emphasis on state funding of advanced degree programs, such as engineering and computer science, increased manufacturing production significantly. B) Literacy rates rose dramatically in the HPAE and laid a foundation for a skilled labor force. C) As the average educational level rose, workers could take on more technological, sophisticated production, pushing new investment into product lines. D) Spending was focused on the primary and secondary level, where it has the greatest social impact.