Which of the following statements about tariffs is true?
A. The revenue gained from tariffs equals the total cost that tariffs impose on consumers.
B. The costs of tariffs are proportionately higher for high-income groups than for low-income groups.
C. U.S. consumers lose more from tariffs than U.S. producers gain.
D. U.S. producers gain more from tariffs than U.S. consumers lose.
Answer: C
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Which of the following is a property of a good economic question?
A) A good economic question should never incorporate elements from disciplines other than economics. B) A good economic question should always have a single solution. C) A good economic question can be answered. D) A good economic question always addresses topics that are important to the whole society and not to an individual economic agent.
The phrase "demand has increased" means that
A) a demand curve has shifted to the right. B) there has been a downward movement along a demand curve. C) a demand curve has shifted to the left. D) there has been an upward movement along a demand curve.