Which of the following taxes causes the greatest shift of the Lorenz curve toward the line of equality?

Robert is participating in a Dutch auction. If he values the item being auctioned at $5,500 and there are 5 bidders in total, what should Robert's optimal bidding strategy be?

What will be an ideal response?

Demand is price elastic if a

A) relatively large price increase leads to a relatively small decrease in the quantity demanded. B) relatively small price increase leads to a relatively large decrease in the quantity demanded. C) price increase leads to a decrease in the quantity demanded. D) price increase leads to an increase in the quantity demanded.