Suppose the demand curve is perfectly inelastic and the supply curve is upward sloping. The price sellers receive after a specific tax is imposed on sellers
A) is less than before the tax.
B) is higher than before the tax.
C) is unchanged.
D) depends on the supply elasticity.
C
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In a two-person bargaining situation it is
A) always in the best interests of both players for each player to be as flexible as possible, and to have as many options as possible. B) always in the best interest of the player that moves first to be as flexible as possible, and to have as many options as possible. C) often in the best interest of players to pretend a game is noncooperative when it is not, and vice versa. D) often in the best interest of players to cut off some of their own options in order to make the other player's threats not credible. E) often in the best interest of players to cut off some of their own options in order to make their own threats credible.
When oil prices increased to record levels in the 1970s, salaries dramatically increased for petroleum geologists skilled in finding oil. Those geologists who moved from other areas to the higher paying jobs were
a. seeking to profit from society's needs rather than following the guidance of the invisible hand, which would have led them to seek jobs serving society rather than jobs with higher pay. b. following the guidance of the invisible hand and probably serving society's best interests as well as their own. c. causing oil prices to rise even more by moving to jobs with higher salaries. d. helping themselves but hurting the economy.