Refer to Figure 4-1. If the market price is $1.00, what is the maximum number of burritos that Arnold will buy?

If adding an initial 100 billion labor hours per year increases real GDP by $3 trillion, diminishing returns informs us that an additional 100 billion labor hours per year will increase real GDP by

A) exactly $3 trillion. B) less than $3 trillion. C) more than $3 trillion. D) either exactly $3 trillion or by less than $3 trillion, depending on whether the real wage rate remains constant or rises. E) some amount but there is not enough information to tell by how much.

The above figures show the market for oranges. Which figure(s) shows the effect of existing orange growers increasing the size of their orange groves?

A) Figures A and C B) Figures B and D C) Figure A D) Figure D