The reason cigarette taxes raise a lot of money and don't reduce adult smoking much is because demand for cigarettes by adults is
A. upward sloping.
B. unit elastic.
C. very inelastic.
D. highly elastic.
Answer: C
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Write a short note on the regulation of the U.S. securities markets
In the acreage allotment program, a farmer's acreage allotment is sometimes based on a farmer's
A) history of production. B) income. C) location. D) b and c E) none of the above
Personal income taxes:
A. make recessions and inflationary episodes more severe. B. make recessions and inflationary episodes less severe. C. make recessions more severe and inflationary episodes less severe. D. make recessions less severe and inflationary episodes more severe.
A perfectly competitive firm is breaking even. In the short run it should ________. In the long run it should ________.
A. shut down; exit the industry B. produce where MC = MR; keep the same production level C. shut down; expand D. produce where MC = MR; leave the industry