If the marginal rate of technical substitution for a cost minimizing firm is 10, and the wage rate for labor is $5, what is the rental rate for capital in dollars?

In the short-run Keynesian model, if the mpc equals 0.8, then to decrease aggregate spending by $30 billion at any output level, government spending must be decreased by ________ or net taxes must be increased by ________.

A. more than $30 billion; more than $30 billion B. $30 billion; $30 billion C. $30 billion; more than $30 billion D. less than $30 billion; less than $30 billion

Country A wants to produce more rice. Unfortunately, it will have to farm less productive land to produce this rice. This fact represents the idea of ______ returns to specialization

Fill in the blank(s) with the appropriate word(s).