Exam 4: Supply and Demand: Applications and Extensions

How would a decrease in lumber prices influence the home construction market?

If the government wants to raise tax revenue and shift most of the tax burden to the consumers, it would impose a tax on a good with a

An increase in the number of students graduating with a major in psychology would result in

The "incidence of a tax" is the term used to indicate

A tax on the buyers of coffee will

Black markets that operate outside the legal system are often characterized by

When the top marginal tax rates were lowered substantially during the 1980s, the inflation-adjusted income tax revenue collected from the top 1 percent of all income earners

Many economists believe a general sales tax (particularly on items such as food) takes a larger proportion of income from low-income households than from high-income households. If this is true, a general sales tax is a

Figure 4-15 In Figure 4-15, suppose a price floor is established at $20.00. What is the result?

Figure 4-24 Refer to Figure 4-24. The per-unit burden of the tax on sellers is

Which one of the following will most likely be harmed by legislation exempting teenagers from the minimum wage?

Figure 4-20 Refer to Figure 4-20. The burden of the tax on buyers is

When a shortage of a good is present due to a price ceiling,

Which of the following generalizations about the burden of an excise tax is correct?

Figure 4-24 Refer to Figure 4-24. The amount of tax revenue received by the government is equal to the area

A proportional tax is defined as a tax for which the

How would an increase in the price of paper influence the market for college textbooks?

A tax for which the average tax rate decreases with income is defined as a

Which of the following is the most likely result of an increase in the minimum wage?

If a government-imposed price floor legally sets the price of milk above market equilibrium, which of the following will most likely happen?