How is national output related to national income?
A) Income is greater than output during recoveries and booms.
B) Income is greater than output during recessions and depressions.
C) Output exceeds income by the amount of unsold goods.
D) They are always equal.
E) They are only equal when the economy is in equilibrium.
Question 2
Fill in the blank: According to the authors of your text, traffic congestion can be reduced by ________ the spillover costs associated with driving.
A) modernizing
B) estimating
C) externalizing
D) internalizing
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