To raise the most tax revenue, governments should consider taxing goods whose
a. income elasticity of demand is high
b. price elasticity of demand is low
c. income elasticity of supply is low
d. income elasticity of demand is high
e. cross elasticity of demand is positive
B
Economics
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When differences between nominal GDP and real GDP result due to price changes and nothing else is compared, an index is created called the
A) consumer price index. B) index of leading indicators. C) GDP deflator. D) inflation index.
Economics
What do many economists see finance companies as having an advantage in?
A) purchasing commercial paper B) selling long-term securities C) monitoring the value of collateral D) charging consumers particularly low interest rates
Economics