The excess burden or deadweight loss of a tax refers to the
a. increase in product price as a result of the tax.
b. growth in government funded programs as a result of the revenue generated by the tax.
c. loss of disposable income consumers suffer from the tax.
d. reduction in gains from mutually beneficial exchanges that are eliminated as a result of the tax.
D
Economics
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Refer to Scenario 5.3. Based on the 10 years' past performance, rank the companies' expected revenue, highest to lowest:
A) Whizbo, Yowzo, Zowiebo B) Whizbo, Zowiebo, Yowzo C) Zowiebo, Yowzo, Whizbo D) Zowiebo, Whizbo, Yowzo E) Zowiebo, with Whizbo and Yowzo tied for second
Economics
Refer to the graph shown. Which of the following curves demonstrates a perfectly inelastic demand curve?
A. A B. B C. C D. None of the curves
Economics