A tax placed on a good
a. causes the effective price to sellers to increase.
b. affects the welfare of buyers of the good but not the welfare of sellers.
c. causes the equilibrium quantity of the good to decrease.
d. creates a burden that is usually borne entirely by the sellers of the good.
c
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Refer to Figure 5-1. Marginal private benefit is represented by which curve?
A) D2 B) D1 C) Supply D) All of the above represent marginal private benefit.
Moving along a budget line, the prices of both goods:
a. vary and the consumer's budget is held constant. b. are held constant and the consumer's budget varies. c. and the consumer's budget are held constant. d. and the consumer's budget vary.
Balin's Burger Barn operates in a perfectly competitive market. Balin's is currently earning economic profits of $20,000 per year. Based on this information, we can conclude that
A) Balin's is operating in the short run, but not the long run. B) Balin's is operating in the long run. C) Balin's profits will discourage new firms from entering. D) Balin's will increase its market price over the counting months.
A continuing resolution allows spending to go on
A. for no longer than a year. B. as long as the resolution states. C. for no longer than a week. D. for no longer than a day.