Taxes can create deadweight losses because they
a. allow the government to fund private goods.
b. create administrative burdens as people comply with tax laws.
c. allow the government to fund public goods.
d. Both b and c are correct.
b
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In a perfectly competitive industry, the industry demand curve
A) must be horizontal. B) must be vertical. C) is upward sloping. D) is downward sloping.
When taxes decrease, consumption
a. decreases as shown by a movement to the left along a given aggregate-demand curve. b. decreases as shown by a shift of the aggregate demand curve to the left. c. increases as shown by a movement to the right along a given aggregate-demand curve. d. increases as shown by a shift of the aggregate demand curve to the right.
Explain why the market system is an organizing mechanism
Please provide the best answer for the statement.
Refer to Exhibit 2-5. Which of the following labeled points are productive efficient?
 ANSWER 6.png)