The deadweight loss from the tax

Assignment Help Microeconomics
Reference no: EM13691055

If the tax on a good is increased from $0.15 per unit to $0.60 per unit, the deadweight loss from the tax

A) Remains constant.

B) Increases by a factor of 4.

C) Increases by a factor of 9.

D) Increases by a factor of 16.

Reference no: EM13691055

Questions Cloud

Contract law requires proof that the offeree intended : An acceptance will create a contract. At common law, the acceptance had to be identical (mirror image) to the offer. A response that was not identical would amount to a counter-offer and cancel out the offer. Modernly, this is no longer the case. If ..
Elasticity of demand equals : The San Francisco Giants want to boost revenues from ticket sales next season. You are hired as an economic consultant and asked to advise the Giants whether to raise or lower ticket prices next year.
Price of horseradish to croplands domestic price : By comparing the world price of horseradish to Cropland’s domestic price of horseradish, we can determine whether Cropland
Tax is most likely to increase tax revenue in a market : A decrease in the size of a tax is most likely to increase tax revenue in a market with
The deadweight loss from the tax : If the tax on a good is increased from $0.15 per unit to $0.60 per unit, the deadweight loss from the tax
Drive to a fast-food restaurant to get a quick bit to eat : Normal 0 false false false EN-US X-NONE X-NONE MicrosoftInternetExplorer4 ..
Sell stock when new information is released about a firm : Normal 0 false false false EN-US X-NONE X-NONE MicrosoftInternetExplorer4 Why do investors often buy or sell stock when new information is released about a firm? What does the analyst believe Apple needs to do to cal..
What is value for total factor productivity in each country : As an analyst for the Latin American Development Bank, you calculate that the share of income going to capital in both Columbia and Costa Rica is 10%. As a result you know that the per worker production function is:y=A*k0.10 You also know that the ca..

Reviews

Write a Review

Microeconomics Questions & Answers

  Elliot industries has rather unique product that sells for

elliot industries has a rather unique product that sells for 25 per unit and the marginal cost is 11.25. determine the

  Assume 500 people were surveyed and of those 500 450 were

suppose 500 people were surveyed and of those 500 450 were working full time. of the 50 not working 10 were full-time

  Model of a bond market

Notice the following model of a bond market. In each situation given, describe what happens to the bond price and yield and why. The graph is price of bonds on the vertical axis and quantity on the horizontal axis. With Supply of bonds starting above..

  The theory of market failure prescribes government

the theory of market failure prescribes government intervention in the form of a tax on producers when negative

  The funds acquired from the sale of a financial asset

Which of the following statements about the financial and real sectors is true? If the financial sector causes more to flow into spending than is saved, most likely: Flows that do not enter the spending stream enter the financial sector in the form o..

  How is the market price of a good determined

How is the market price of a good determined? When the market for a product is in equilibrium, how will consumers value an additional unit compared to the opportunity cost of producing that unit? Why is this important?

  Describe dont just mention what happens to federal funds

explain dont just mention what happens to the federal funds rate the borrowed monetary base i.e. discount loans and the

  Explain what happens to total revenue and total costs

Explain why a monopolist will never produce a quantity at which the demand curve is inelastic - hint - if demand is inelastic and the firm raises its price, what happens to total revenue and total costs

  Supply schedule defined analogously shows total quantities

A supply schedule (or function or curve) defined analogously shows the total quantities (Q) that sellers are willing to sell at various prices (P) in a given period of time. One very special case is that of a fixed supply, where the quantity supplied..

  Imports attractive products for domestic sales

Write an introduction that states the purpose of the document; the name of the fictitious company, its location, and its import strategy; and a summary of the subjects that will be covered in the plan.

  Calculate the effect of the tariff on the optimal price

A cocoa shipping firm has determined that its US demand curve is given by: Q= 6,500- 2P Where Q is metric tons of cocoa and P is the price per metric ton. The firm can import cocoa from the Ivory Coast for $1,150 per metric ton. Its shipping cost it ..

  Define direct and indirect channels of distribution

Prepare a brief paper defining direct and indirect channels of distribution. Discuss what are the key advantages and disadvantages of each channel for your company?

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