Economists are interested in long-term economic growth because growth increases real GDP per person and improves our standard of living

Suppose a new textbook sells for $100 at the college bookstore. The bookstore will buy it back at the end of the semester for $35, and sell then it used to somebody else for $75. Christina agrees to the deal, and pays $100

Once she buys the book, her sunk cost is A) $25. B) $35. C) $40 D) $65 E) $100.

Based on Figure 6.1, how much revenue will the government raise from a $0.25 per bushel tariff on soybean imports?

A) The government will raise $2.5 million. B) The government will raise $5 million. C) The government will raise $15 million. D) The government will raise $32.5 million. E) The government will see no increase in income; because the country is small, foreign firms will simply not serve it after the tariff is imposed.