Congress and the President allow people to make greater contributions to tax-deferred savings accounts. Which curve in the market for loanable funds would shift, which direction would it shift, what would happen to the interest rate, and what would happen to investment spending?

In setting the price of its product, a monopolistic competitor sets the price equal to its marginal cost plus an amount called the

A) markup. B) profit. C) rent. D) menu cost.

If changes in economic policy could cause the growth rate of real GDP to increase by 1% per year for 100 years, then GDP would be ________ % higher after 100 years than it would have been otherwise

A) 1.3 B) 2.0 C) 2.7 D) 3.8