If a $50 subsidy is legally (statutorily) granted to the sellers of weed eaters and as a result the price of weed eaters to consumers falls by $30, the actual benefit of the subsidy
a. goes completely to buyers of weed eaters.
b. goes completely to sellers of weed eaters.
c. is $30 to buyers and $20 to sellers.
d. is $20 to buyers and $30 to sellers.
C
You might also like to view...
The economic efficiency of any process will be evaluated by
A) the proportion of marginal to non-marginal costs. B) the ratio of work done to energy supplied. C) comparing what is gained from what is sacrificed. D) the relationship of supply to demand.
Net capital outflow represents the quantity of dollars supplied in the foreign-currency exchange market
a. True b. False Indicate whether the statement is true or false
A negative network externality causes demand to become:
A. unit elastic. B. perfectly inelastic. C. less elastic. D. more elastic.
If tourists are charged a much higher price than the natives of a country for exactly the same item, what kind of pricing is involved?
A. Competitive pricing. B. MC = MR pricing. C. Monopoly pricing. D. Price discrimination.