When a tax is placed on the buyers of a product, the
a. size of the market decreases.
b. effective price received by sellers decreases, and the price paid by buyers increases.
c. demand for the product decreases.
d. All of the above are correct.
d
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If all prices, including the price of beef, increase by 3%, then the relative price of beef has ________ and inflation ________.
A. remained constant; has not occurred B. remained constant; has occurred C. increased; has not occurred D. increased; has occurred
If a firm's short-run total cost curve lies above its total revenue curve at all output levels, the goal of the firm should be to
a. minimize total cost b. maximize total revenue c. minimize its loss d. minimize marginal cost e. maximize marginal revenue
Which statement is true?
A. The lower incomes that women earn relative to those earned by men is explained entirely by employment discrimination. B. Although there are many theories of poverty, few have any validity. C. Much of black poverty is caused by black male joblessness. D. None of these statements are true.
Nearly all of the budget deficits we had in the 1980s were
A. under $10 billion. B. between $100 billion and $200 billion. C. between $200 billion and $300 billion. D. over $300 billion.