The difference between the loss of surplus to taxpayers and the tax revenue collected is called:

A. an externality.
B. deadweight loss.
C. consumer surplus.
D. producer surplus.


B. deadweight loss.

Economics

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If a country lacks ________, economic growth ________

A) a democratic form of government; cannot occur B) a proper incentive system; cannot occur C) pure capitalism; will be slower compared to other countries D) a proper incentive system; will occur at a pace suggested by the new growth theory E) economic freedom; will increase at a faster pace

Economics

What factors will shift the aggregate expenditure function for a given level of real domestic income?

What will be an ideal response?

Economics

Which of the following markets is closest to a monopoly?

A) a firm with a 90% market share B) the only gas station for 100 miles C) cable television D) garbage disposal

Economics

The above figure shows supply and demand curves for apartment units in a large city. If the city government passes a law that establishes $350 per month as the legal maximum rent, producer surplus decreases by

A) d. B) b + f. C) c + g. D) i.

Economics