EC2106F08PS8 - Name: _ Class: _ Date: _ ID: A ECON 2106-C...

Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
Name: ________________________ Class: ___________________ Date: __________ ID: A 1 ECON 2106-C Practice Problem for Ch 8 Multiple Choice Identify the letter of the choice that best completes the statement or answers the question. ____ 1. When a tax is imposed on the sellers of a good, a. the demand curve shifts downward by less than the amount of the tax. b. the demand curve shifts downward by the amount of the tax. c. the supply curve shifts upward by less than the amount of the tax. d. the supply curve shifts upward by the amount of the tax. ____ 2. A tax placed on a good a. causes the effective price to sellers to increase. b. affects the welfare of buyers of the good, but not the welfare of sellers. c. causes the size of the market for the good to shrink. d. creates a burden that is usually borne entirely by the sellers of the good. ____ 3. Taxes cause deadweight losses because they a. lead to losses in surplus for consumers and for producers that, when taken together, exceed tax revenue collected by the government. b.
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 02/08/2011 for the course ECON 2106 taught by Professor Minjaesong during the Fall '06 term at Georgia Institute of Technology.

Page1 / 4

EC2106F08PS8 - Name: _ Class: _ Date: _ ID: A ECON 2106-C...

This preview shows document pages 1 - 2. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online