Using the information in Situation 20-2, if taxes increase by $10, then the equilibrium aggregate output will change by

Wages paid to teachers, police personnel, and postal workers are not transfer payments because they are payments for services and not simply "transfers" of money

Indicate whether the statement is true or false

The law of diminishing marginal utility explains why people and societies rarely make all-or-nothing choices

a. True b. False Indicate whether the statement is true or false