In principle, trade can make a nation better off, because the gains to the winners exceed the losses to the losers

The cost of inflation to society includes I. the opportunity costs of resources used by people to protect themselves against inflation. II. the diversion of productive resources to forecasting inflation

A) I only B) II only C) both I and II D) neither I nor II

Suppose Kyle is a liberal and the economy is overheated. Which fiscal policy does he recommend?

a. increase taxes b. decrease taxes c. increase G spending d. decrease G spending e. increase the money supply