The welfare loss from an import quota is greater than that of an equivalent tariff because
A) tariff revenues can be used to society's benefit.
B) the loss in consumer surplus is not as large.
C) domestic producers gain more from a quota than from a tariff.
D) tariff revenues represent an additional deadweight loss.
A
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Since 1994, obesity rates in the United States
A) have increased in all 50 states. B) have been on a slow and steady decline. C) have primarily increased in the Southeast and remained constant or slightly decreased in the remainder of the country. D) have remained fairly constant throughout the country.
A subgame-perfect equilibrium is a Nash equilibrium that
a. cannot persist through several periods. b. involves only credible threats. c. consists only of dominant strategies. d. is unique.
If the value of the price elasticity of demand is 0.2, this means that
a. a 20 percent decrease in price causes a 1 percent increase in quantity demanded b. a 0.2 percent decrease in price causes a 1 percent increase in quantity demanded c. a 5 percent decrease in price causes a 1 percent increase in quantity demanded d. a 0.2 percent decrease in price causes a 0.2 percent increase in quantity demanded e. a 100 percent decrease in price causes a 200 percent increase in quantity demanded
Present discounted value refers to the
A. Value today of future payments adjusted for inflation. B. Value today of future payments adjusted for interest accrual. C. Value today of future payments adjusted for risk. D. Future value of today's dollars.