This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Refer to Figure 26-1. In the figure above, the money demand curve would move from Money demand1 to ... (Read 72 times)

fasfsadfdsfa

  • Hero Member
  • *****
  • Posts: 554
on: Jun 29, 2018
Refer to Figure 26-1. In the figure above, the money demand curve would move from Money demand1 to Money demand2 if
 
  A) the interest rate decreased. B) real GDP decreased.
  C) the price level increased. D) the Federal Reserve sold Treasury securities.

Question 2

Delaware and North Dakota have identical state gasoline taxes of 23.0 cents per gallon. When added to the federal gasoline tax of 18.4 cents per gallon, the total tax on one gallon of gasoline in these two states is 41.4 cents.
 
  On November 8, 2015, the average price of one gallon of regular gasoline was 2.17 in Delaware and 2.28 in North Dakota. Briefly explain whether this is an example of price discrimination. Assume that the gasoline being sold is identical in both states.
 
  Sources: gaspricewatch.com and taxfoundation.org


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

helenmarkerine

  • Sr. Member
  • ****
  • Posts: 324
Reply #1 on: Jun 29, 2018
Answer to Question 1

C

Answer to Question 2

This appears to be a case of price discrimination, unless the costs of selling gasoline is 2.28 - 2.17 = 0.11 per gallon higher in North Dakota than in Delaware.


fasfsadfdsfa

  • Member
  • Posts: 554
Reply 2 on: Jun 29, 2018
Excellent

bimper21

  • Member
  • Posts: 309
Reply 3 on: Yesterday
Wow, this really help

« previous next »
 

Did you know?

Illicit drug use costs the United States approximately $181 billion every year.

Did you know?

Looking at the sun may not only cause headache and distort your vision temporarily, but it can also cause permanent eye damage. Any exposure to sunlight adds to the cumulative effects of ultraviolet (UV) radiation on your eyes. UV exposure has been linked to eye disorders such as macular degeneration, solar retinitis, and corneal dystrophies.

Did you know?

Persons who overdose with cardiac glycosides have a better chance of overall survival if they can survive the first 24 hours after the overdose.

Did you know?

Prostaglandins were first isolated from human semen in Sweden in the 1930s. They were so named because the researcher thought that they came from the prostate gland. In fact, prostaglandins exist and are synthesized in almost every cell of the body.

Did you know?

People with high total cholesterol have about two times the risk for heart disease as people with ideal levels.

Lewis symbols,(Figure 1) Lewis symbols,(Figure 1)
Bell Curve for Intelligence IQ scores for a population-based sample usually fall into this kind of Bell Curve for Intelligence IQ scores for a population-based sample usually fall into this kind of
Demonstrate the Application of Triangular, Figure-Eight, and Tubular Bandages Demonstrate the Application of Triangular, Figure-Eight, and Tubular Bandages
Mobilize joints of the feet and ankle. Apply scissoring to metatarsals and figure-8s to toes. Dorsi- ... Mobilize joints of the feet and ankle. Apply scissoring to metatarsals and figure-8s to toes. Dorsi- ...
Bacteria growth curve Bacteria growth curve
Type III curve. Mortality is highest early in life. Data for a desert shrub (Cleome droserifolia). Type III curve. Mortality is highest early in life. Data for a desert shrub (Cleome droserifolia).
Video: Allergic Rhinitis

For a complete list of videos, visit our video library