Should the home country be "large" relative to its trade partners, its imposition of a tariff on imports would lead to an increase in domestic welfare if the terms of the trade rectangle exceed the sum of the
A) revenue effect plus redistribution effect.
B) protective effect plus revenue effect.
C) consumption effect plus redistribution effect.
D) production distortion effect plus consumption distortion effect.
E) terms of trade gain.
D
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According to the benefits-received principle, those who receive the benefits from a government program should pay the taxes that support the program
Indicate whether the statement is true or false
In a defined contribution pension plan,
A) pension income varies depending on how well the plan's investments have done. B) the employee is promised an assigned benefit based on earnings and years of service. C) if the funds in the pension plan exceed the amount promised, the excess accrues to the issuing firm or institution. D) all earnings are taxable as regular income.
The ________ elastic a firm's demand curve, the greater its ________
A) less; monopoly power B) less; output C) more; monopoly power D) more; costs
If a private market determines the quantity of smallpox vaccinations, which of the following is true?
a. The equilibrium quantity is too low for efficiency. b. The equilibrium price and quantity are too high for efficiency. c. The equilibrium price is efficient. d. The equilibrium quantity is too high for efficiency. e. The equilibrium price and quantity are efficient.