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

Author Question: The demand for insulin is quite inelastic. The demand for Pepsi is quite elastic. Suppose the ... (Read 84 times)

Pineapplelove6

  • Hero Member
  • *****
  • Posts: 560
on: May 24, 2019
The demand for insulin is quite inelastic. The demand for Pepsi is quite elastic. Suppose the elasticity of supply for insulin is the same as the elasticity of supply for Pepsi. If a $0.20 tax was imposed on each of these goods (holding everything else constant), which consumers would pay more of the tax?
◦ the Pepsi consumers
◦ the insulin consumers
◦ There would be no difference in the amount of tax paid by the consumers.
◦ More information is needed to determine which consumers pay more of the tax.
◦ The premise of the question is wrong because the elasticity of demand and the incidence of a tax are not related.
Foundations of Microeconomics ¦ Bade, Parkin ¦ 8th Edition
Buy Test-Bank


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by Pineapplelove6 on May 24, 2019

ghepp

  • Sr. Member
  • ****
  • Posts: 361
Reply #1 on: May 24, 2019
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
Answer Preview
Only 29% of students answer this correctly


Pineapplelove6

  • Hero Member
  • *****
  • Posts: 560
Reply #2 on: May 24, 2019
Thanks


ghepp

  • Sr. Member
  • ****
  • Posts: 361
Reply #3 on: May 24, 2019
Welcome :)


« previous next »
 

Did you know?

Thyroid conditions may make getting pregnant impossible.

Did you know?

People often find it difficult to accept the idea that bacteria can be beneficial and improve health. Lactic acid bacteria are good, and when eaten, these bacteria improve health and increase longevity. These bacteria included in foods such as yogurt.

Did you know?

To prove that stomach ulcers were caused by bacteria and not by stress, a researcher consumed an entire laboratory beaker full of bacterial culture. After this, he did indeed develop stomach ulcers, and won the Nobel Prize for his discovery.

Did you know?

Women are two-thirds more likely than men to develop irritable bowel syndrome. This may be attributable to hormonal changes related to their menstrual cycles.

Did you know?

Each year in the United States, there are approximately six million pregnancies. This means that at any one time, about 4% of women in the United States are pregnant.

Glucagon- and insulin-secreting cells in the islets of Langerhans Glucagon- and insulin-secreting cells in the islets of Langerhans
Insulin, glucagon, and blood glucose Insulin, glucagon, and blood glucose
Insulin pump Insulin pump
Synthesis of insulin. Synthesis of insulin.
The population of Asia increases rapidly, the demand for food and water is also growing The population of Asia increases rapidly, the demand for food and water is also growing
Elastic/inelastic #5 Elastic/inelastic #5
Video: Exercise and cardiac output

For a complete list of videos, visit our video library