Refer to the information provided in Figure 7.8 below to answer the question(s) that follow. 
Figure 7.8Refer to Figure 7.8. The slope of isocost AB is
A. greater than the slope of isocost CD.
B. less than the slope of isocost CD.
C. equal to the slope of isocost CD.
D. indeterminate from this information, as the prices of capital and labor are not given.
Answer: C
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Which of the statements about the gains from international trade is CORRECT?
A) Everyone gains from international trade. B) Some people gain from international trade and some lose, though overall the gains exceed the losses. C) Some people gain from international trade and some lose; overall the gains exceed the losses. D) Everyone loses from international trade.
An increase in autonomous consumption has the same equilibrium effect as a(n)
a. decrease in investment. b. increase in investment. c. decrease in net exports. d. increase in taxes.