This topic contains a solution. Click here to go to the answer

Author Question: The above figure shows the isoquants for producing steel. Constant returns to scale are A) ... (Read 227 times)

jwb375

  • Hero Member
  • *****
  • Posts: 540
The above figure shows the isoquants for producing steel. Constant returns to scale are
 
  A) present when producing less than 10,000 tons.
  B) present when producing between 10,000 and 20,000 tons.
  C) present when producing more than 20,000 tons.
  D) never present.

Question 2

Define the benefit principle. List two real world taxes that have the features of a tax based on the benefit principle. Why can't the benefit principle be the sole principle of taxation?
 
  What will be an ideal response?



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

abctaiwan

  • Sr. Member
  • ****
  • Posts: 355
Answer to Question 1

B

Answer to Question 2

The benefit principle states that the people who benefit from the government's expenditures should be the ones who pay for them. Two real world examples of taxes that have features based on the benefit principle are entry fees for public parks and tolls for government turnpikes. The benefit principle is difficult to apply in all situations because it is often difficult to determine who is actually benefiting from a government activity and it is often in conflict with other goals such as redistribution.





 

Did you know?

Although the Roman numeral for the number 4 has always been taught to have been "IV," according to historians, the ancient Romans probably used "IIII" most of the time. This is partially backed up by the fact that early grandfather clocks displayed IIII for the number 4 instead of IV. Early clockmakers apparently thought that the IIII balanced out the VIII (used for the number 8) on the clock face and that it just looked better.

Did you know?

Colchicine is a highly poisonous alkaloid originally extracted from a type of saffron plant that is used mainly to treat gout.

Did you know?

The average person is easily confused by the terms pharmaceutics and pharmacology, thinking they are one and the same. Whereas pharmaceutics is the science of preparing and dispensing drugs (otherwise known as the science of pharmacy), pharmacology is the study of medications.

Did you know?

In the United States, congenital cytomegalovirus causes one child to become disabled almost every hour. CMV is the leading preventable viral cause of development disability in newborns. These disabilities include hearing or vision loss, and cerebral palsy.

Did you know?

One way to reduce acid reflux is to lose two or three pounds. Most people lose weight in the belly area first when they increase exercise, meaning that heartburn can be reduced quickly by this method.

For a complete list of videos, visit our video library