If Healthy Crunch contractually requires distributors who purchase Healthy Crunch's snack bars to also purchase Healthy Crunch's breakfast cereal, this is an example of ________.
A) a tying arrangement
B) exclusive dealing
C) territorial confinement
D) a requirements contract
A) a tying arrangement
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To prevent obesity, the government may establish a tax on high caloric foods, such as twinkies. A twinkie tax will have the smallest impact on quantity demanded when the demand curve for twinkies is
A) perfectly elastic. B) perfectly inelastic. C) more elastic than the supply curve. D) both A and B.
From the standpoint of a soft drink company the question of "What goods and services should be produced?" is best represented by which of the following decisions?
A) whether or not to hire additional workers B) whether or not to increase its advertising C) whether or not to shut down selected manufacturing facilities D) None of the above are examples.
Officially, the payroll tax is referred to as
a. the trust fund tax. b. Social Security tax. c. contributions for social insurance. d. investment in Social Security.
The essence of the trade-off between equality and efficiency is that
A. taxes and transfers reduce incentives to earn income, thus reducing GNP. B. people are ideologically opposed to socialistic income redistribution. C. redistribution violates the “work ethic.” D. people are prejudiced against blacks and women.