If government officials are mainly interested in generating tax revenue, then they should tax goods for which demand is price inelastic.

Discuss the correct and incorrect economic analysis in the following statements

"If a disease kills a large number of turkeys, the supply of turkeys will decrease. This will result in a price increase, which will then cause the supply of turkeys to increase."

Real business cycle proponents would agree with all of the following except

a. the government's efforts to stabilize the economy can be counterproductive. b. unanticipated changes in the money supply are destabilizing to the economy. c. business cycles are a natural response to technology shocks. d. markets are perfectly competitive.