The marginal propensity to consume plus the marginal propensity to save must always equal 1

Many people who hold bonds

a. think they are poorer than they really are b. end up oversaving because of the paradox of thrift c. end up underconsuming d. mistakenly view the bonds as their personal assets and as the government's liabilities e. believe that the source of the interest they receive is the taxes they don't need to pay

Opportunity cost theory suggests that a nation has

A) A comparative advantage in the good with the lower opportunity cost. B) An absolute advantage in the production of the good with the lowest opportunity cost. C) No advantage in the production of any good with an opportunity cost. D) None of the above.