The law of increasing costs mean that when an economy increases the production of one item-

A rancher raises shee

A) only the raw wool and the yarn. B) only the yarn and the sweaters. C) the raw wool, the yarn and the sweaters. D) only the sweaters.

The Laffer curve shows that as tax rates rise from 0 percent to 100 percent, tax revenues will

a. rise b. first rise, then fall, then rise again c. fall d. first rise, then fall e. remain constant