Voluntary export restraints are illegal under international trading rules

Refer to the table above. If countries were to trade along the lines of comparative advantage

A) B would export Y to A. B) A would import X from A. C) neither country would want to trade. D) More information is needed to determine the pattern.

Which of the following policies would increase the demand for loanable funds and thus investment spending?

a. A reduction in the investment tax credit. b. An increase in the corporate profits tax. c. A reduction in the capital gains tax. d. An increase in the investment tax credit. e. An increase in transfer payments.