The more inelastic the demand for a product, the more likely that the actual benefit of a subsidy granted on the product will
a. go to sellers.
b. go to buyers.
c. go equally to both buyers and sellers.
d. do none of the above.
B
You might also like to view...
Pension fund growth has been spurred by the recent development of "defined __________ plans," such as the __________ plan
A) benefit; 401(k) B) benefit; Keogh C) contribution; 401(k) D) contribution; Keogh
If a professional association restricts membership and firms cannot employ nonassociation workers, the equilibrium wage will increase
a. True b. False
Entrepreneurial profits are very low because entrepreneurs are generally
a. overly pessimistic and receive psychological rewards for their work. b. overly pessimistic and incur psychological costs from their work. c. overly optimistic and receive psychological rewards for their work. d. overly optimistic and incur psychological costs from their work.
When the housing bubble collapsed, the entire borrowing and lending engine of the economy ground to a halt because:
A. banks wanted to lend to no one, in case they turned out to be a bad risk. B. the herd instinct became to not borrow or lend. C. no one could tell which banks were safe, and which were not. D. All of these statements are true.