Market failure occurs when a market fails to maximize net social welfare

a. True
b. False
Indicate whether the statement is true or false

True

Economics

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The idea behind a flat tax is to _____

a. cut taxes on high-income taxpayers b. to raise taxes on high-income taxpayers c. increase progressivity d. minimize the excess burden of the income tax

Economics

Assume that coffee and tea are substitutes. When the price of coffee increases:

A. the demand for tea decreases. B. the demand for tea increases. C. the supply of tea increases. D. the supply of tea decreases.

Economics