In an open economy with strong international trade, increases in government spending are likely to have an overall "crowding out" effect

The above figure shows the market for neckties after the government has imposed a tax. How much government revenue is generated by the tax?

A) $1,000.00 per month B) $800.00 per month C) $500.00 per month D) $400.00 per month

Aggregate private spending is unstable according to policy activists, primarily because

A) consumer non-durable spending is volatile. B) private residential and non-residential investment is volatile. C) government spending is volatile. D) the money supply is unstable.