Cable tax to the satellite tax, Public Economics

Assignment Help:

According to estimates by Goolsbee and Petrin (2004), the elasticity of demand for basic cable service is ?0.51, and the elasticity of demand for direct broadcast satellites is ?7.40. Suppose that a community wants to raise  a given amount of revenue by taxing cable service and the use of direct broadcasting satellites. If the community's goal is to raise the money as efficiently as possible, what should be the ratio of the cable tax to the satellite tax? Discuss briefly the assumptions behind your calculation.


Related Discussions:- Cable tax to the satellite tax

Related goods approaches - direct substitute approach, Related Goods Approa...

Related Goods Approaches - Direct Substitute Approach Normal 0 false false false EN-IN X-NONE X-NONE MicrosoftInterne

Privatization, privatization can always decentralise economic power. critic...

privatization can always decentralise economic power. critically discuss

Cost-based methods, Normal 0 false false false EN-IN ...

Normal 0 false false false EN-IN X-NONE X-NONE MicrosoftInternetExplorer4

Valuation tools - shadow prices, Normal 0 false false false...

Normal 0 false false false EN-IN X-NONE X-NONE MicrosoftInternetExplorer4

Economic of labour market, What is the link between efficiency wages and sh...

What is the link between efficiency wages and shirking? There are two firms A and B identical in all respects except the following. In firm A increased expenditure on monitoring co

Production, Types of production function

Types of production function

Determine the natural rate of unemployment, Suppose the firm mark up over t...

Suppose the firm mark up over the cost is 10% and the wage setting equation is W=P (1-u) where U is the unemployment rate. a) Find out the real wage rate implied by the price se

Economic implications, The State attempts to oversee, as exemplified by Art...

The State attempts to oversee, as exemplified by Art. 39 (b) and (c) of our Constitution, that private activities may not cause harm to the common good and in case they do so corre

Annotated bibliography guidelines, The purpose of this assignment is to pro...

The purpose of this assignment is to provide you an opportunity to enhance your skills related to use of APA format to cite references and selection of research articles most relev

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd