If MPC = 0.75 (and there are no income taxes) when G increases by 100, then the IS curve for any given interest rate shifts to the right by:

Refer to the figure above. What is the equilibrium quantity of labor hired by the firm when the wage rate is $6 per hour?

A) 10 hours B) 30 hours C) 60 hours D) 90 hours

A decrease in which of the following would decrease the tax wedge?

A) federal budget deficit B) national debt C) money supply D) marginal tax rate