When demand for a good is highly inelastic, a large increase in tax on that good will
a. cause a large increase in the excess burden of the tax.
b. raise a large amount of additional tax revenue.
c. significantly discourage buyers of the good from consuming it.
d. cause a large change in producer surplus as well as consumer surplus
b. raise a large amount of additional tax revenue.
You might also like to view...
Six months before filing for bankruptcy, Shirley sold her new car to her brother for $100 so that her creditors could not claim it. The market value of the car was $8,000 at the time of the sale. Under these circumstances, the transfer is ________.
A. voidable by the trustee because Shirley did not receive fair consideration for this transfer B. voidable by the creditors because it was done with intent to defraud the creditors C. not voidable because the transfer occurred between two relatives D. not voidable by the trustee because the transfer occurred 6 months before Shirley filed her bankruptcy petition
Explain how Dunkin' Donuts' utilization of a Facebook page is an example of marketers making effective use of social networking
What will be an ideal response?
Cash dividends of $50,000 were declared during the year. Cash dividends payable were $10,000 and $20,000 at the beginning and end of the year, respectively. The amount of cash for the payment of dividends during the year is
A) $40,000 B) $50,000 C) $70,000 D) $60,000
Siva has noticed a problem with his team that he manages. He has come up with a theory to explain the problem. He then tests his theory with independent and dependent variables. Siva has used what to help his critical thinking process?
a. Leadership b. The scientific method c. Evidence-based management d. The open systems theory