Starting from long-run equilibrium, a large tax increase will result in a(n) ________ gap in the short-run and ________ inflation and ________ output in the long-run.

When a monopolist is producing at the profit-maximizing output level, the value to consumers of one additional unit of output will

a. exceed the monopolist's marginal cost. b. equal the monopolist's marginal cost. c. be less than the monopolist's marginal cost. d. exceed the price of the additional unit.

Which of the following serves as an automatic stabilizer in the economy?

A. Interest rates B. Exchange rates C. The inflation rate D. The progressive income tax