Which of the following is the best example of a tariff?
A) a subsidy from the U.S. government to domestic manufacturers of residential air conditioners to enable them to compete more effectively with foreign producers
B) a limit on the quantity of residential air conditioners that can be imported from a foreign country
C) a $150 fee imposed on all imported residential air conditioners
D) a tax placed on all residential air conditioners sold in the domestic market to help offset the impact of emissions on the environment
Answer: C
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Refer to Figure 18-1. Of the tax revenue collected by the government, the portion borne by producers is represented by the area
A) F + G. B) B + C. C) E + H. D) B + C + F + G.
The fact that price subsidies reduce economic surplus implies that:
A. price subsidies help the rich but not the poor. B. we can find an alternative policy that will make both the rich and the poor better off. C. price subsidies are not effective at lowering prices. D. the quantity bought and sold in the market will fall.
What is the meaning of the term "marginal rate of substitution"?
What will be an ideal response?
According to psychologist __________, physiological needs must be met before higher-order needs are undertaken
a. Abraham Maslow b. Peter Drucker c. A. J. Boothe d. Sal Schilling