If Pat's income increased from $250,000 to $500,000 and his consumption increased from $200,000 to $300,000, what was his marginal propensity to consume?

Refer to the scenario above. If the equilibrium price charged by the firm in the short run is $170, the firm will earn ________

A) a profit of $10 per unit B) a profit of $25 per unit C) a profit of $0 per unit D) a profit of $30 per unit

A tax that reduces economic efficiency is always bad policy.

Answer the following statement true (T) or false (F)