Bus rides and canned soup are inferior goods, so the ________ elasticity of demand is ________

According to monetarists, an expansionary fiscal policy is a weak stabilization tool because:

A. the asset demand for money varies inversely with the rate of interest. B. government borrowing to finance a deficit will raise the interest rate and reduce private investment. C. government borrowing will reduce the supply of money in circulation and depress the GDP. D. government borrowing to finance a deficit will lower interest rates, increase money balances, and lower velocity.

If Big Box Store has customers with identical demands, if it practices two-part pricing, the profit-maximizing user fee is ________ the marginal cost of Big Box Store's product.

A) less than B) greater than C) exactly double D) equal to