A monopolist restricts output and charges a higher price relative to what would occur if a market were perfectly competitive

If government spending is $900 billion while government revenue is $600 billion, the government is said to have a

A) $600 billion budget deficit. B) $1,500 billion budget deficit. C) $300 billion budget deficit. D) $300 billion budget surplus.

The above figure gives your budget line between CDs and magazines. If the price of a magazine increased, then the budget line

A) shifts outward and the slope does not change. B) rotates inward with no change in the horizontal intercept. C) rotates inward with no change in the vertical intercept. D) rotates outward with no change in the vertical axis.