Figure 18-2

Figure 18-2 shows the widget market before and after an excise tax is imposed. After the tax is imposed, the amount that a firm keeps for itself from the sale of each widget is ____.

A. $95
B. $100
C. $120
D. $125

Answer: A

Economics

You might also like to view...

Fiscal policies that move the economy toward potential GDP without a change in policy are called

A) spending stabilizers. B) economic stabilizers. C) GDP stabilizers. D) routine stabilizers. E) automatic stabilizers.

Economics

If Sony required all its retailers not to sell televisions from other companies, Sony would be engaging in what kind of activity? Is Sony's requirement legal or does it violate the Clayton Act?

What will be an ideal response?

Economics