To eliminate an inflationary gap, the aggregate demand curve should

A decreased government deficit created by a lump-sum tax increase will increase national saving if

A) the value of government bonds outstanding grows slower than the public's wealth. B) it causes consumption to fall. C) the government runs a primary surplus as a result. D) the real interest rate is less than the growth rate of real GNP.

Refer to the above table. Suppose the price of Y rises from $18 to $20. What is the cross price elasticity of demand between X and Y?

A) -2 B) -1 C) 0 D) +1