Figure 4-7
Refer to . Which of the following is true for the tax illustrated?
a.
The tax increases the price of gasoline by $.60.
b.
Since the demand for gasoline is more inelastic than the supply, consumers bear most of the burden of the tax.
c.
Since the demand for gasoline is more elastic than the supply, consumers bear most of the burden of the tax.
d.
Since the supply of gasoline is highly inelastic, the primary burden of the tax is imposed on the suppliers of gasoline.
b
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Positions that involve a considerable amount of personal risk
a. typically have negative compensating wage differentials b. usually have better fringe benefits for employees c. have higher demand by firms d. pay lower wages e. typically have positive compensating wage differentials
Approximately what percentage of state spending goes to finance education?
A. 36. B. 44. C. 47. D. 53.
The original objective of Social Security was
A. to prevent future depressions. B. to provide retirement fund for all persons. C. a proper response to the stock market crash of 1929. D. to raise the nation's saving rate.
The inflation rate in Genovia has been rising constantly. What can the central bank of the country do to control inflation?
What will be an ideal response?