Government programs that automatically shift the government budget toward a deficit during recessions and a surplus during recoveries are called

To a firm facing constant input prices, increasing marginal returns

a. means that each additional unit of output costs more to produce than the previous unit b. means that the marginal product of the variable input decreases as more of the input is used c. can occur due to specialization and division of labor d. usually occur at very high rates of output e. can never occur

Use the midpoint formula to answer this question. Suppose that as the price of Y falls from $2.00 to $1.90, the quantity of Y demanded increases from 110 to 118. Then the price elasticity of demand is

A. -4.0. B. -1.4. C. -3.9. D. -2.1.