Refer to the above figures. Which panel represents the expected relationship between tax revenue and the sales tax rate if dynamic tax analysis is used?

The capture theory holds that regulations are supplied to maximize ________

A) total sales B) economic profit C) marginal product D) consumer surplus

If wage rates fall at the same time that labor productivity increases, what is the effect on short-run aggregate supply (SRAS)?

A) SRAS falls. B) SRAS remains constant. C) SRAS rises. D) SRAS may rise, fall, or remain constant.