Describe the potential negative effects of an additional tax on the sale of all-terrain vehicles (ATVs) within the United States
What will be an ideal response?
The tax discourages transactions in ATVs. By raising the final price of ATVs to buyers, some buyers end up leaving the ATV market and purchasing something else they do not like as well. The tax also discourages some ATV producers, who end up in some other occupation for which they may not be as well suited.
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In the mini-case on pay-for-delay
A) incumbents are attempting to delay entry of generic drugs. B) the deals incumbents made with potential entrants may be illegal. C) the deals are only profitable for approximately six months. D) All of the above.
The shape of the marginal cost curve tells a producer something about the marginal product of her workers
a. True b. False Indicate whether the statement is true or false
If the price level rises above what was expected and nominal wages are fixed, then
a. production becomes less profitable so firms will hire fewer workers. b. production becomes less profitable so firms will hire more workers. c. production becomes more profitable so firms will hire fewer workers. d. production becomes more profitable so firms will hire more workers.
OutputTotal Cost0$24133241348454561669Refer to the above data. The marginal cost of producing the 6 unit of output is:
A. $8. B. $24. C. $16. D. $12.