When computing percentage changes, using the simple approach results in increases and decreases which are

If the government overcorrected in a situation of external costs a. More than the efficient amount of the good would end up being produced. b. Less than the efficient amount of the good would end up being produced. c. It would result in a welfare cost in that market

d. Both b and c are would result.

Automatic stabilizers will shift the government budget toward

a. a surplus during both expansions and contractions. b. a deficit during both expansions and contractions. c. a surplus during an expansion and a deficit during a contraction. d. a surplus during a contraction and a deficit during an expansion.