If a tax of $1 a can is imposed on the buyers of sugary drinks, the demand for sugary drinks ______ and the price that buyers pay ______
A. doesn't change; doesn't change
B. doesn't change; rises by $1 a can
C. decreases; rises by more than $1 a can
D. decreases; rises by less than $1 a can
D Figure 7.1(a) illustrates this result.
Economics
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The CPI is biased because it
A) takes into account the changes in product quality. B) takes into account the changes in technology. C) does not always take into account the changes in product quality. D) accurately measures the cost of living but not the cost of producing. E) does not include services.
Economics
Which of the following is a feature of models?
A) Models are the same as hypotheses. B) Models help making predictions for the future. C) Models are more complicated than real life phenomena. D) Models are as complex as the phenomenon being studied.
Economics