Leonard, Sheldon, Raj, and Penny each like science fiction moves. The price of a special boxed set of Star Trek DVDs is $50 . Leonard values the set of movies at $70, Sheldon at $65, Raj at $60, and Penny at $55 . Suppose that if the government taxes DVDs at $10 each, the price rises to $60 . A consequence of the tax is that consumer surplus shrinks by
a. $50 and tax revenues increase by $30, so there is a deadweight loss of $20.
b. $35 and tax revenues increase by $30, so there is a deadweight loss of $5.
c. $20 and tax revenues increase by $20, so there is no deadweight loss.
d. $15 and tax revenues increase by $20, so there is no deadweight loss.
b
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Which of the following identifies correct reasons for the sustained growth in the Western world post 19th century?
A) Demographic transition and the American civil war B) The American civil war and the Industrial Revolution C) The Agricultural Revolution and the Industrial Revolution D) Demographic transition and the Industrial Revolution
Which of the following statements is an example of agenda control?
a. A governor vetoes a concealed carry law. b. A state legislature puts on the ballot a $500 million high-tech infrastructure initiative. c. A state education department implants a federal education law. d. A private citizen sues to prevent her home being taken through eminent domain.