What, according to the textbook, accounts for the federal budget surplus in the late 1990s?
A) A move toward virtue on Capital Hill
B) Strong economic growth during that period
C) Huge increases in tax rates
D) A successful beggar-thy-neighbor strategy
Question 2
Did Mother Teresa create positive externalities when she helped the poor of Calcutta?
A) No, because the poor continued to exist and her efforts were largely unsuccessful.
B) No, because she fully calculated all the benefits of her activities.
C) Yes, because her activities have inspired and benefited countless others whom Mother Teresa could not have known about or taken into account.
D) Yes, because her activities had nothing to do with the search for economic profit.