Which of the following is likely to happen if the government raises tax rates?

Suppose it costs a farmer $1.00 to produce 1 unit of corn, $2.10 to produce 2 units of corn, and $3.30 to produce 3 units of corn. What's the average cost of producing 2 units of corn?

A) $1.00 B) $1.05 C) $1.10 D) $2.00 E) $2.10

Which of the following transactions directly leads to a surplus on the U.S. capital and financial account?

A) An American purchases a share of stock on the Tokyo exchange. B) An American sells wheat to an African nation. C) A Japanese resident purchases a U.S. government bond. D) A resident of France visits the United States.