A subsidy on a product will generate more actual benefit for producers (and less for consumers) when
a. the supply of the product is relatively inelastic.
b. the supply of the product is relatively elastic.
c. the demand for the product is relatively inelastic.
d. either b or c is true
A
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A. What is the World Trade Organization?
b. When was it established? c. How many countries are members of the World Trade Organization? What will be an ideal response?
On the gold standard, a trade deficit in the U.S. impacted the economy by producing
(a) a gain of specie. (b) a tight supply of money. (c) low interest rates. (d) deflation.
Which of the products below is towards the spectrum of perfectly competitive industry?
a. Nike shoes b. Eggs c. Purdue Chicken d. Restaurants
Given the strict quantity theory of money, if the quantity of money were decreased by 50 percent, prices would:
a. fall by 50 percent. b. rise by 50 percent. c. increase by 100 percent. d. decrease by 100 percent.