Which of the following statements is correct concerning the burden of a tax imposed on take-out food?
A.We have to know whether it is the buyers or the sellers that are required to pay the tax to the government in order to make this
determination.
B. Sellers bear the entire burden of the tax.
C. Buyers bear the entire burden of the tax.
D. Buyers and sellers share the burden of the tax.
D. Buyers and sellers share the burden of the tax.
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Suppose that the United States decided to subsidize a major research and development effort by U.S. firms in the semiconductor industry. Under the current rules of the WTO and GATT, the U.S. effort is
A) allowed as long as the subsidies are a small percent of the total cost. B) allowed as long as the subsidies do not involve a direct payment to the industry. C) not allowed. D) neither allowed nor disallowed. E) allowed as long as the subsidies are for developing a "precompetitive" technology.
The amount of money a bank can lend
a. depends on its gold holdings. b. depends on its holdings of government bonds. c. is inversely related to its reserve requirements. d. is unrestricted.
The United States
A. has sometimes attained productive efficiency. B. usually attains productive efficiency. C. never attained productive efficiency.
Real GDP measures the ________ of production.
A. change in the volume B. current dollar value C. current market value D. physical volume