The price paid by buyers in a market will decrease if the government

a. increases a binding price floor in that market.
b. increases a binding price ceiling in that market.
c. decreases a tax on the good sold in that market.
d. All of the above are correct.

c

Economics

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Assume a small nation has the following statistics: its consumption expenditure is $15 million, investment is $2 million, government expenditure on goods and services is $1 million, exports of goods and services to foreigners is $1 million, and

imports of goods and services from foreigners is $1.5 million. Calculate this nation's GDP.

Economics

According to the circular flow model, all else constant, an increase in government spending should cause an increase in spending, income, and production in the economy

Indicate whether the statement is true or false

Economics