A firm is said to operate with constant returns to scale if its production cost increases by four times when its output is doubled.

Which of the following move the handling of a common property resource closest to efficiency?

A) ensuring that the sellers of the resource are perfectly competitive B) ensuring that the seller of the resource is a monopolist C) banning the sale of the resource D) banning the use of the resource E) assigning a usage fee for access to the resource

What does it mean for the government to "roll over" its debt?

a. Buying bonds from the public to pay off old bonds b. Continuing to pay interest on old bonds c. Issuing new bonds to pay off old bonds d. Running a budget surplus to pay off old bonds e. Printing money to pay off old bonds