The more elastic the supply of a product, the more the actual burden of a tax on the product will:

A. fall on sellers.
B. fall on buyers.
C. fall equally on both buyers and sellers.
D. create a smaller deadweight loss (or excess burden).


Answer: B

Economics

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All of the following statements are examples of normative economic analysis except

A) as the demand for emergency room nurses increases, more students are choosing to enroll in nursing school. B) to provide better care, doctors should be required to limit the number of patients they see each day. C) people should be able to choose whether they want to purchase health insurance. D) prescription drugs are too expensive and the government needs to regulate prices in the pharmaceutical industry.

Economics

Using the data in the above table, what is the average product of three employees?

A) 2 pizzas per hour B) 3 pizzas per hour C) 4 pizzas per hour D) 12 pizzas per hour

Economics

The simple circular flow model shows that workers and owners of land and capital offer their services through: a. product markets. b. factor markets

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Economics