A tax placed on a good that is a necessity for consumers will likely generate a tax burden that ?

Related Mcqs:

For a price ceiling to be binding constraint on the market the government must set it ?

A. above the equilibrium price B. below the equilibrium price C. precisely at the equilibrium price D. at any price because all price ceilings are binding constraints...

Suppose the equilibrium price for apartments is Rs500 per month and the government imposes rent controls of Rs250 Which of the following is unlikely to to occur as a result of the rent controls?

A. There may be long lines of buyers waiting for apartments B. Landlords may discriminate among apartment renters C. Landlords may be offered bribes to rent apartments D. there will be a storage of housing E. the quality of apartments will improve...

A binding price ceiling creates?

A. a shortage or a surplus depending on whether the price ceiling is set above or below the equilibrium price B. a surplus C. a shortage D. an equilibrium...

A price floor ?

A. always determines the price at which a good must be sold B. sets a legal maximum on the price at which a good can be sold C. is not a binding constraint if it is set above the equilibrium price D. sets a legal minimum on the price at which a good can be … A price floor ?Read More...

Which side of the market is more likely to lobby government for a price floor ?

A. the buyers B. Neither buyers nor sellers desire a price floor. C. the sellers D. Both buyers and sellers desire a price floor....