What is "tax incidence"? What determines tax incidence in a competitive market?
What will be an ideal response?
Tax incidence refers to the actual division of the burden of a tax between buyers and sellers in a market. In a competitive market, tax incidence is determined by the forces of supply and demand in that market.
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Gordon believes that the expansion which began in 1982 did so because of the
A) expansionary monetary policy which was pursued. B) Reagan tax cuts, the passage of the Economic Recovery Act in 1981. C) increases in consumer and business firm optimism concerning future business conditions. D) A and B are both correct.
The Fed established stock market margin requirements to reduce the possibility of a stock market panic
Indicate whether the statement is true or false
On the vertical axis, the Phillips curve depicts the
a. the rate of unemployment. b. rate of inflation. c. rate of growth of nominal GDP. d. rate of growth of real GDP.
Explain: “An effectively regulated natural monopoly will have trouble attracting capital to sustain and modernize its facilities.”
What will be an ideal response?