Use the figure below to answer the following question.
If a price ceiling in this market is set at P1, then
A. government revenue equals area b.
B. the government revenue per unit equals P2 minus P1.
C. the government does not raise revenue.
D. government revenue equals area d.
Answer: C
Economics
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In the United States, the largest source of funds for public schools is
A) the consumption tax. B) the property tax. C) sales taxes. D) the federal income tax.
Economics
If policymakers are expected to increase the money supply, then Monetarists argue that bond demand and thus prices will __________
When it occurs, the actual increase in the money supply will have no further effect on bond prices and thus the anticipated higher inflation rate will cause interest rates to __________. A) increase; increase B) increase; decrease C) decrease; increase D) decrease; decrease
Economics