Gamma has $30,000 of capital per worker, while Omega has $7,500 of capital per worker. In all other respects, the two countries are the same. According to the principle of diminishing returns to capital, an additional unit of capital will ________ in Omega compared to Gamma, holding other factors constant.

Which of the following is least likely to increase the demand for airline tickets?

A) A Department of Energy order closing gasoline stations on weekends. B) A Department of Energy order restricting gasoline sales on odd and even-numbered days of the month to cars with odd or even final digits in the license number C) A fall in the price of airline tickets D) A rise in the price of gasoline E) An excellent record of airline safety

Discretionary fiscal policy is handicapped by

A) lawmaking time lags, induced taxes, and automatic stabilizers. B) lawmaking time lags, estimation of potential GDP, and economic forecasting. C) economic forecasting, lawmaking time lags, and induced taxes. D) automatic stabilizers, lawmaking time lags, and potential GDP estimation. E) automatic stabilizers, the multipliers, and potential GDP estimation.