Liquidity preference theory indicates that at lower interest rates

To determine who bears the greater share of a tax, we compare the

A) number of buyers to the number of sellers. B) elasticity of supply to the elasticity of demand. C) size of the tax to the price of the good. D) government tax revenue to the revenue collected by the suppliers. E) pre-tax quantity to the post-tax quantity.

In analyzing macroeconomic data during the past year, you have discovered that average labor productivity fell, but total output increased. What was most likely to have caused this?

A) There is nothing unusual in this outcome because this is what normally occurs. B) The capital—output ratio probably rose. C) There was an increase in labor input. D) Unemployment probably increased.