When tax revenues equal government outlays, the situation is referred to as

A reduced risk premium __________ the discount factor in the stock price valuation formula, and __________ stock prices

A) raises; raises B) raises; lowers C) lowers; raises D) lowers; lowers

Which of the following is possible in a 2-input production technology.

A. The technology has increasing returns to scale but diminishing marginal product of all inputs. B. The technology has increasing returns to scale but diminishing marginal product of all but one input. C. The technology has decreasing returns to scale but increasing marginal product of one input. D. (a) and (b) E. (a) and (c) F. (b) and (c) G. None of the above H. All of the above