Billy Bob runs a seafood restaurant. Last year he earned $50,000 in revenue. He had explicit costs of $20,000. Billy Bob could have made $30,000 working for the county and could have received an additional $20,000 if he rented out his building and equipment. Calculate Billy Bob's implicit costs.

In the above figure, what is the marginal social benefit of the four-hundredth pretzel?

A) $0 B) $2.00 C) $3.00 D) $4.00

In a two-period model with production, a temporary increase in domestic government spending

A) increases domestic output and increases the current account surplus. B) increases domestic output and decreases the current account surplus. C) decreases domestic output and increases the current account surplus. D) decreases domestic output and decreases the current account surplus.