If MR=MC and P

A. zero.
B. more than this quantity.
C. fewer than this quantity but not zero.
D. at this quantity.

Answer: A

Economics

Personal and corporate income taxes are automatic stabilizers because

a. they generate approximately the same revenues during prosperity and recession b. tax rates decrease more during prosperity than during recession c. tax rates increase more during prosperity than during recession d. they take more income out of the economy during prosperity than during recession e. they take less income out of the economy during prosperity than during recession

Which of the following represents positive economics?

a. All of these choices are positive economic analysis. b. Policy A is fair. c. Outcome B is the best objective to achieve. d. If policy A is followed, then outcome B results.