If the government wanted a tax to raise a great deal of revenue but not burden producers much, it would want to tax an industry with
a. elastic supply and demand curves.
b. inelastic supply and demand curves.
c. inelastic supply and elastic demand.
d. elastic supply and inelastic demand.
d
You might also like to view...
The Consumer Price Index measures the average of the prices paid by urban consumers for a ________ of consumer goods and services
A) subjective selection B) fixed market basket C) random selection D) least-cost market basket E) changing selection
Refer to Table 2-13. What is Horace's opportunity cost of grooming a dog?
A) half a bathed cat B) two bathed cats C) one and a half bathed cats D) two-thirds of a bathed cat
Refer to Table 10-4. For steak and cheese sandwiches and grilled chicken sandwiches, the table contains the values of the marginal utility (MU) and marginal utility per dollar (MU/P) for Mabel Jarvis
Mabel has $14 to spend on steak and cheese sandwiches and grilled chicken sandwiches. Which of the following statements is true? A) To maximize her utility, Mabel will need a total of $36, the income needed to buy 6 steak and cheese sandwiches and 6 grilled chicken sandwiches. B) If Mabel maximizes her utility she will buy three steak and cheese sandwiches and two grilled chicken sandwiches. C) If Mabel was maximizing her utility when spending $14 and then received an additional $4, she would receive the most marginal utility per dollar if her next purchase was another grilled chicken sandwich. D) Mabel will first buy two steak and cheese sandwiches; then with her remaining $6 she will buy three grilled chicken sandwiches.
Cournot and Stackelberg oligopolies are similar in that they ________.
A) both compete on price B) both compete on marginal cost C) do not compete D) both compete on quantity