The primary cause of diseconomies of scale is scarcity of machinery and capital

Goods whose income elasticity of demand is greater than zero are _____

a. inferior goods b. normal goods c. substitute goods d. superior goods e. public goods

Ad valorem taxes

A. are based on income levels. B. are paid as a fixed percentage of a good's unit price. C. are not used in the United States. D. are accessed based on the costs of producing the goods or services.