« previous next »

Author Question: A tax on a previously untaxed monopoly-produced good will necessarily lower total welfare if A) ... (Read 59 times)

jho37

  • Hero Member
  • *****
  • Posts: 531
on: Jul 1, 2018
A tax on a previously untaxed monopoly-produced good will necessarily lower total welfare if
 
  A) the demand curve is relatively inelastic.
  B) the demand curve is relatively elastic.
  C) less than the socially optimum is produced before the tax.
  D) more than the socially optimum is produced before the tax.

Question 2

Monopolizing the sale of liquor
 
  A) can lead to an increase in total welfare.
  B) will decrease total welfare.
  C) results in a deadweight loss.
  D) is anti-competitive and thus lowers total welfare.
Microeconomics ¦ Perloff ¦ 8th Edition
Buy Test-Bank


hramirez205

  • Sr. Member
  • ****
  • Posts: 345
Reply #1 on: Jul 1, 2018
Answer to Question 1

C

Answer to Question 2

A


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

Hip fractures are the most serious consequences of osteoporosis. The incidence of hip fractures increases with each decade among patients in their 60s to patients in their 90s for both women and men of all populations. Men and women older than 80 years of age show the highest incidence of hip fractures.

Did you know?

The Babylonians wrote numbers in a system that used 60 as the base value rather than the number 10. They did not have a symbol for "zero."

Did you know?

The eye muscles are the most active muscles in the whole body. The external muscles that move the eyes are the strongest muscles in the human body for the job they have to do. They are 100 times more powerful than they need to be.

Did you know?

On average, the stomach produces 2 L of hydrochloric acid per day.

Did you know?

Chronic necrotizing aspergillosis has a slowly progressive process that, unlike invasive aspergillosis, does not spread to other organ systems or the blood vessels. It most often affects middle-aged and elderly individuals, spreading to surrounding tissue in the lungs. The disease often does not respond to conventionally successful treatments, and requires individualized therapies in order to keep it from becoming life-threatening.

Lower Limbs & Pelvis Lower Limbs & Pelvis
If a cylinder(s) is lower than most of the others, use an oil can and use two squirts of engine oil ... If a cylinder(s) is lower than most of the others, use an oil can and use two squirts of engine oil ...
Pitting edema of the lower extremities Pitting edema of the lower extremities
Politics, Power and the Common Good: An Introduction to Political Science, 5/E Politics, Power and the Common Good: An Introduction to Political Science, 5/E
A very thin uniform rod, 2.40 m long and of weight 135 N, has a frictionless hinge at its lower ... A very thin uniform rod, 2.40 m long and of weight 135 N, has a frictionless hinge at its lower ...
What is the total resistance of the circuit in Figure 1? 150 What is the total resistance of the circuit in Figure 1? 150
Video: Transferring genes into plants Animation

For a complete list of videos, visit our video library