Government outlays equal:
a. the difference between government expenditures and government revenues.
b. the sum of government expenditures and government revenues.
c. the sum of government purchases and transfer payments.
d. the difference between government purchases and transfer payments

In a two good, two-country world, a country has a comparative advantage in any good for which it has a:

a. lower absolute cost than the other country. b. lower opportunity cost than the other country. c. higher absolute cost than the other country. d. higher opportunity cost than the other country.

If a price floor is not binding, then

a. the equilibrium price is above the price floor. b. the equilibrium price is below the price floor. c. there will be a surplus in the market. d. there will be a shortage in the market.