Normal goods have positive income elasticities

If the price elasticity of demand for apples is greater than 1, an increase in apple prices will

A) raise total revenue. B) lower total revenue. C) not affect total revenue. D) either raise or lower total revenue, but it is impossible to determine which.

Crowding out occurs when the government

a. reduces the level of the national debt, forcing up interest rates b. balances the budget, increasing the value of government bonds and thereby causing consumption to fall c. borrows money to finance the national debt, forcing up interest rates, causing private investment to fall d. borrows money to finance the national debt, causing interest rates to fall causing private investment to fall e. borrows money to finance the national debt, forcing up interest rates, causing consumption to fall