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The deadweight loss from a tax is:
a. extra money consumers must pay for the tax.
b. the loss of consumer and producer surplus due to the tax.
c. affected by the size of the tax.
d. the loss of consumer and producer surplus due to the tax and affected by the size of the tax are correct
Suppose Frank is a monopolist in the garden gnome market and is producing his profit-maximizing level of output. Suppose further that at this level of production his average total cost is $150, his average variable cost is $130, and the price of one ..
Suppose a country makes commodity A and B with capital and labour with constant returns to scale technology. When the country goes from autarky equilibrium to trade equilibrium with its trading partner, the price of A rises and price of B remains sam..
Explain using graphs why corruption with theft could either decrees or increase the quantity of the good purchased. for both cases (an increase in the quantity purchased and a decrease in the quantity purchase) show or describe who are the winners an..
Consider a survival game in which a large population of animals meet and either fight over or share a food source. There are two phenotypes in the population: one always fights, and the other always shares. Draw the payoff table for the game played b..
President says that wages probably should be cut so that workers could not afford to miss so much work. Evaluate two views utilizing income and substitution effects in your analysis.
Elucidate the effect of capital formation by compering the production possibility curve,at the present time and ten years in future, for two economies,one with a high and the other with a low rate of capital formation
The long-run market supply curve in a competitive market will
Suppose the income elasticity of demand for pre-recorded music compact disks is +4 and the income elasticity of demand for a cabinet maker's work is +0.4. Compare the impact on pre-recorded music compact disks and the cabinet maker's work of a recess..
How managed care sales and marketing have evolved over recent decades, and how these may possibly evolve over the decades ahead.
In the absence of a binding and enforceable agreement, determine the dominant strategy for AMC. c. Determine the dominant strategy for SAMI. d. If the two firms can enter into a binding and enforceable agreement, determine the strategy that each fi..
Calculate a change in the mix of monetary and fiscal policy that leaves output equal to the level it is when M=900 and G=1,200 but in which the interest rate is 3% rather than 5%. Describe what happens to the value of the dollar, net exports, the gov..
Sally has set aside about $7500 for a down payment, and she has budgeted for a monthly payment of $900. She expects that her salary will increase about 5% per year in real terms,but she would like to use that increase for “fun” purposes. Sally is als..
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