Other things equal, a decrease in the personal income tax rate will ________ disposable income, which leads to ________ in output and employment

Suppose that a large country imposes optimal tariffs on imports from another large country. The second country then responds with optimal tariffs on imports from the first country. For these two countries, the Nash equilibrium results in ___________ for the first country and __________ for the second country.

a. losses; losses b. gains; gains c. losses; gains d. gains; losses

Logan finds $10 in his jacket pocket and deposits it into a bank. As a result of this single transaction, M1 has

A) increased by more than $10. B) increased by $10. C) not changed. D) increased by less than $10.