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

Author Question: What is the advantage of the government imposing an ad valorem tax over a specific tax when facing a ... (Read 45 times)

altibaby

  • Hero Member
  • *****
  • Posts: 562
on: Jul 1, 2018
What is the advantage of the government imposing an ad valorem tax over a specific tax when facing a monopoly?
 
  What will be an ideal response?

Question 2

In 1950 there were 16 individuals contributing to Social Security for every one person collecting benefits.
 
  a. True b. False


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

brbarasa

  • Sr. Member
  • ****
  • Posts: 308
Reply #1 on: Jul 1, 2018
Answer to Question 1

When comparing an ad valorem tax to a specific tax which generates the same revenue, the ad valorem tax is less distortionary, resulting in a smaller DWL.

Answer to Question 2

a


altibaby

  • Member
  • Posts: 562
Reply 2 on: Jul 1, 2018
Wow, this really help

bbburns21

  • Member
  • Posts: 336
Reply 3 on: Yesterday
Great answer, keep it coming :)

« previous next »
 

Did you know?

For about 100 years, scientists thought that peptic ulcers were caused by stress, spicy food, and alcohol. Later, researchers added stomach acid to the list of causes and began treating ulcers with antacids. Now it is known that peptic ulcers are predominantly caused by Helicobacter pylori, a spiral-shaped bacterium that normally exist in the stomach.

Did you know?

Bacteria have flourished on the earth for over three billion years. They were the first life forms on the planet.

Did you know?

About 60% of newborn infants in the United States are jaundiced; that is, they look yellow. Kernicterus is a form of brain damage caused by excessive jaundice. When babies begin to be affected by excessive jaundice and begin to have brain damage, they become excessively lethargic.

Did you know?

In the United States, an estimated 50 million unnecessary antibiotics are prescribed for viral respiratory infections.

Did you know?

The most dangerous mercury compound, dimethyl mercury, is so toxic that even a few microliters spilled on the skin can cause death. Mercury has been shown to accumulate in higher amounts in the following types of fish than other types: swordfish, shark, mackerel, tilefish, crab, and tuna.

Disorders associated with specific stages of embryon​ic developmen​t Disorders associated with specific stages of embryon​ic developmen​t
The recent mass upheavals in Tunisia, Egypt, Libya, Yemen, and Syria gave political scientists a cha The recent mass upheavals in Tunisia, Egypt, Libya, Yemen, and Syria gave political scientists a cha
The world has been horrified recently at a U.S. Congress so polarized and paralyzed that it cannot p The world has been horrified recently at a U.S. Congress so polarized and paralyzed that it cannot p
A specific neuronal mRNA localizes to synapses A specific neuronal mRNA localizes to synapses
Organ-Specific Toxicity Organ-Specific Toxicity
Prostate-specific antigen test. Prostate-specific antigen test.
Video: Energy sources - types

For a complete list of videos, visit our video library