A tax on cigarettes:
A. increases total surplus.
B. increases efficiency in the market.
C. like any tax, will always reduce surplus and efficiency in markets.
D. will increase both total surplus and efficiency in the market.
Answer: D
Economics
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Which of the following shifts the aggregate demand curve rightward?
A) a decrease in government expenditure B) expectations that future incomes will fall C) a decrease in the quantity of money and an increase in interest rates D) a tax cut
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The natural rate of unemployment has increased in the United States and Europe over the last twenty years. What are things that could account for this?
What will be an ideal response?
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