The consumer-side deadweight loss from a per-unit tax in the goods market arises from solely from the fact that output falls under the tax.
Answer the following statement true (T) or false (F)
False
Rationale: When goods are perfect complements, there is no deadweight loss on the consumer side despite the fact that output falls under the tax.
Economics
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If you put $2,000 in a saving account that earns 3% interest per year, what is the formula you should use to determine the account's future value in one year?
A) Future value = $2,000 × 0.03. B) Future value = $2,000 / 0.03. C) Future value = $2,000 / (1 + 0.03). D) Future value = $2,000 × (1 + 0.03).
Economics
A fiduciary monetary system has to have all of the following EXCEPT
A) trust. B) a central bank. C) acceptability. D) predictability of value.
Economics