The velocity of M2 is equal to

When demand is elastic, a fall in price causes total revenue to rise because

A) the percentage increase in quantity demanded is less than the percentage fall in price. B) the demand curve shifts. C) when price falls, quantity sold increases so total revenue automatically rises. D) the increase in quantity sold is large enough to offset the lower price.

During the last two decades, most of the surplus generated by the Social Security system was

a. used to finance current government expenditures. b. invested in government bonds that will make it possible for the federal government to pay future retirement benefits without an increase in federal taxes. c. used to pay down the national debt. d. invested in bonds offered by foreign governments and businesses that will provide a stream of future income for the finance of retirement benefits.