Knowledge capital is ________ in production and ________. As a result, firms ________ free ride

Under a balanced budget policy, a sharp rise in GDP will cause

A. no serious budget changes. B. a tax cut or an increase in expenditures. C. a tax increase or expenditure cut. D. tax receipts to exceed government expenditures.

?Hair Pins /hourBandanas /hourNigel410Mia93Consider two individuals, Nigel and Mia, who produce hair pins and bandanas. Nigel's and Mia's hourly productivity are shown in Table 3.3. Nigel's opportunity cost of producing one hair pin is:

A. 1/3 of a bandana. B. 2.5 bandanas. C. 3 bandanas. D. 10 bandanas.