Researchers have found that tax increases may have a small effect in the quantity purchased because

A) individuals might forget about the tax (salience).
B) individuals are rational.
C) individuals are credit constrained.
D) individuals do not care about prices.

A

Economics

You might also like to view...

In the above figure, below what minimum price will a perfectly competitive firm shut down rather than produce?

A) for any price less than $16 per unit B) for any price less than $12 per unit C) for any price less than $8 per unit D) for any price less than $4 per unit

Economics

The slope of a nonlinear curve is ________ when the curve is rising, and ________ when the curve is falling

A) negative, positive B) negative, negative C) positive, negative D) positive, positive

Economics