Which of the following statements is correct concerning the burden of a tax imposed on take-out food?
A.We have to know whether it is the buyers or the sellers that are required to pay the tax to the government in order to make this
determination.
B. Sellers bear the entire burden of the tax.
C. Buyers bear the entire burden of the tax.
D. Buyers and sellers share the burden of the tax.
D. Buyers and sellers share the burden of the tax.
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When the price level declines
A) the interest rate falls, and consumers borrow more funds, which causes a movement down along the aggregate demand curve. B) interest rates fall, and consumers borrow more funds, which causes the aggregate demand curve to shift to the left. C) the interest rate rises, and consumers borrow fewer funds, which causes a movement up the aggregate demand curve. D) the interest rate is not affected, so there is no movement along the aggregate demand curve.
Economic choice and competitive behavior are the result of
a. basic human greed. b. poverty. c. private ownership of resources. d. scarcity.