A decrease in the price of peanut butter will increase both the equilibrium price and quantity in the market for jelly

The Smoot-Hawley Tariff

A) raised average tariff rates by over 50 percent in the United States in 1930. B) was passed by the U.S. Congress following the Civil War as a means of increasing government revenue. C) was passed by the U.S. Congress upon a recommendation made by the General Agreement on Tariffs and Trade (GATT) in 1948. D) lowered U.S. tariffs by 50 percent following World War II.

The Ricardian Equivalence holds only if

A) the government is altruistic. B) there are no binding credit constraints. C) the government runs deficits. D) the government runs surpluses.