If a water-slide park opens to the public in your neighborhood and an admission fee is charged, then the park is a

Nobody needs soda. So why do people drink it?

A) They deny the data and believe they really do need soda. B) The expected additional benefits of another soda outweigh the additional costs. C) There are no substitutes for soda. D) Soda is a good for the people who consume it, and therefore they will drink it at any price.

Policies that increase research and development spending will increase the rate of technological change and thus shift the production function up vertically

a. True b. False