Suppose the government's initial debt is $425 billion. If for the next three years the government runs deficits of $150, $125, and $200 billion, the government's total debt at the end of the three years will be

Which of the following statements is true about the price elasticity of demand?

A) As the number of substitutes for a product increases, the price elasticity of demand for that good decreases. B) If the budget share of a particular good in a consumer's bundle increases, the price elasticity of demand for that good is likely to decrease. C) The price elasticity of demand for a good is generally higher in the long run than in the short run. D) The demand for a good with a price elasticity of demand of zero is highly responsive to price changes.

An individual would suffer lower losses or maybe even gain from an unexpectedly higher inflation rate if

a. she held much currency and on net was a lender. b. she held much currency and on net was a borrower. c. she held little currency and on net was a lender. d. she held little currency and on net was a borrower.