What is "tax incidence"? What determines tax incidence in a competitive market?
What will be an ideal response?
Tax incidence refers to the actual division of the burden of a tax between buyers and sellers in a market. In a competitive market, tax incidence is determined by the forces of supply and demand in that market.
Economics
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One general characteristic of collective action problems is that
A) no individual has any incentive to act in the best interest of the grou
Economics
If the marginal propensity to save is 0.40, a $20 billion increase in investment spending would cause equilibrium output to:
a. increase by $50. b. increase by $80. c. decrease by $33. d. decrease by $40. e. decrease by $20.
Economics