The seller passes on the entire tax to the consumer when demand is _____.

Fill in the blank(s) with the appropriate word(s).


perfectly inelastic

Economics

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Starting from long-run equilibrium, a large tax increase will result in a(n) ________ gap in the short-run and ________ inflation and ________ output in the long-run.

A. recessionary; lower; potential B. expansionary; lower; potential C. expansionary; higher; potential D. recessionary; lower; lower

Economics

Recently, there has been little political stability in Brazil

Indicate whether the statement is true or false

Economics

In a decreasing cost industry, the

a. long-run supply curve is horizontal b. short-run supply curve slopes downward c. long-run demand curve slopes upward d. long-run supply curve slopes downward e. long-run supply curve slopes upward

Economics

A term that categorizes patterns of exchange rate behavior is known as:

a. exchange rate regimes. b. exchange rate realms. c. exchange rate principles. d. exchange rate observations.

Economics