Multiple Choice
Good A has a perfectly inelastic demand and an upward-sloping supply curve. Good B has a perfectly inelastic supply and a downward-sloping demand curve. If the same sales tax is imposed on the sellers of both good A and good B, the price paid by
A) buyers of good A rises by more than the price paid by buyers of good B.
B) buyers of good B rises by more than the price paid by buyers of good A.
C) buyers of good A rises by the same amount as the price paid by buyers of good B.
D) More information is needed to determine whether the price paid by buyers of good A rises by more than, less than, or the same amount as the price paid by buyers of good B.
Correct Answer:

Verified
Correct Answer:
Verified
Q1: A sales tax is divided so that
Q2: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8586/.jpg" alt=" -Suppose the government
Q4: Suppose that the equilibrium wage in the
Q5: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8586/.jpg" alt=" -In the above
Q6: Why would an increase in the minimum
Q7: Search activity<br>A) occurs when there is a
Q8: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8586/.jpg" alt=" -In the above
Q9: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8586/.jpg" alt=" -The figure above
Q10: Most of us are dependent on crude
Q11: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB8586/.jpg" alt=" -The figure above