Suppose consumers save 3 percent of their incomes. If the government collects 1 dollar in taxes from each taxpayer, private saving will ________ per taxpayer

If a 10% decrease in price for a good results in a 20% increase in quantity demanded, the price elasticity of demand is

a. 0.50. b. 1. c. 1.5. d. 2.

A judge requires Harry to make a payment to Sally. The judge says that Harry can pay her either $10,000 today or $12,000 two years from today. Of the following interest rates, which is the highest one at which Harry would be better off paying the money today?

a. 4 percent b. 6 percent c. 9 percent d. 11 percent