If a tax is imposed on buyers in a market in which supply is perfectly inelastic, the
A) buyers pay the entire tax.
B) sellers pay the entire tax.
C) buyers and the sellers both pay a portion of the tax.
D) neither the buyers nor the sellers pay the tax.
B
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A production possibilities frontier that is a bowed-inward line implies
A) economies of scale. B) diseconomies of scope. C) economies of scope. D) no economies of scope.
Gross domestic product is officially measured by adding together the:
a. quantity of each good and service produced by U.S. residents. b. market value of all final goods and services produced within the borders of a nation. c. quantity of goods and services produced by companies owned by U.S. citizens. d. none of these.
Suppose a new law requires all piercing studios to pass tougher licensing tests and to begin using more costly sterilization methods. Other things constant, this law would cause:
A. an increase in the supply of piercings and a lower price for piercings. B. an increase in the supply of piercings and a higher price for piercings. C. a decrease in the supply of piercings and a higher price for piercings. D. a decrease in the supply of piercings and a lower price for piercings.
Provide examples and explain reform measures that have been suggested to reduce the possibility and frequency of international financial crises.
What will be an ideal response?