Which of the following statements about excise taxes is TRUE?
A) The producer will increase the price of the good by the amount of the excise tax.
B) The equilibrium price will increase and the equilibrium quantity will remain unchanged.
C) Both the consumer and producer pay part of the excise tax.
D) Consumers will refuse to pay excise taxes forcing the producers to pay it.
C
Economics
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The idea that a government budget deficit decreases investment is called
A) government dissaving. B) the crowding-out effect. C) the Ricardo-Barro effect. D) the capital investment effect.
Economics
The price of a consol equals the coupon payment
A) times the interest rate. B) plus the interest rate. C) minus the interest rate. D) divided by the interest rate.
Economics