Consider a market in which there is an external cost. A tax can be used to arrive at the efficient market equilibrium because the tax will

If the opportunity cost of entrepreneurship increases:

A) the aggregate demand in the economy increases. B) the number of entrepreneurs in the economy will increase. C) the price level in the economy falls. D) the aggregate output of the economy will decrease.

Suppose a nation's population grows by 2 percent and, at the same time, its GDP grows by 5 percent. Approximately how fast will real GDP per person increase?

A) 3 percent per year B) 2 percent per year C) 5 percent per year D) 10 percent per year