According to classical growth theory, people earn only a subsistence real income because of growth in

If the government imposes a price ceiling,

a. producers must charge the ceiling price b. the price offered by producers must be no lower than that ceiling price c. the price offered by producers must be no higher than that ceiling price d. producers would be inclined to increase the quantity supplied e. the market supply curve shifts to the right

According to Laffer (of the Laffer curve), the Kemp-Roth tax cut of 1981 should have caused

a. tax revenue to rise, and it did b. tax revenue to fall, and it did c. people to increase saving, and it did d. people to increase consumption spending, but it didn't e. tax revenue to rise, but it didn't