Supply-side economics stresses that
a. budget deficits will stimulate demand, output, and employment.
b. budget deficits will lead to higher interest rates, which will weaken their expansionary impact.
c. an increase in government expenditures financed by higher tax rates will cause real income to rise.
d. changes in marginal tax rates exert important effects on real output and employment.
D
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In the figure above, suppose the market is at equilibrium. Then area B is the
A) marginal benefit. B) marginal cost. C) amount of the consumer surplus. D) amount of the producer surplus. E) deadweight loss.
The countries comprising NAFTA are:
A. Canada, the United States, and Puerto Rico. B. the United States, Mexico, and Chile. C. the United States, the United Kingdom, and France. D. Canada, Mexico, and the United States.