Describe the market effects of a carbon tax.
What will be an ideal response?
A carbon tax will shift the supply curve of the taxed good to the left, leading to increased price and reduced quantity.
Economics
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An increase in currency held outside the banks is ________
A) a currency drain B) income C) a currency surplus D) wealth
Economics
According to William Niskanen's model of bureaucracy, bureaus tend to be overfunded because
a. it is difficult for Congress to determine the shape of a bureau's supply curve. b. it is difficult for Congress to determine the shape of a bureau's demand curve. c. Congressional leaders believe that deficit spending leads to economic growth. d. Congressional leaders believe that government employees are underpaid.
Economics