A. the tax burden falls most heavily on the buyers.
B. the buyers bear the burden of the tax
C. the sellers bear the burden of the tax
D. the tax burden on the buyers and sellers in the same as an equivalent tax collected from the sellers
Related Mcqs:
- Refer to Exhibit 4. If a tax is placed on the product in this market tax revenue paid by the buyers is the area ?
A. B + C + E + F
B. B
C. B + C
D. A - Within the supply and demand model, a tax collected from the buyers of a good shifts the ?
A. supply curve downward by the size of the tax per unit.
B. Supply curve upward by the size of the tax per unit
C. demand curve upward by the size of the tax per unit.
D. demand curve downward by the size of the tax per unit - The graph that shows the relationship between the size of a tax and the tax revenue collected by the government is known as a ?
A. none of these answers
B. Reagan curve
C. Keynesian curve
D. Laffer curve
E. Henry George curve. - When a tax distorts incentives to buyers and sellers so that fewer goods are produced and sold than otherwise the tax has ?
A. caused a deadweight loss
B. decreased equity
C. generated no tax revenue
D. increased efficiency - The property tax wealth tax inheritance tax and income taxes such as persona and corporate taxes are ?
A. indirect taxes
B. direct taxes
C. inelastic
D. value-added tax - Imagine there is no tax on income up to Rs 1000 after that there is a tax of 505 what is the average tax rate on an income of Rs 20,000 ?
A. Rs 50000
B. 20%
C. 25%
D. Rs 10000 - The burden of a tax falls more heavily on the buyers in a market when ?
A. both supply and demand are inelastic
B. demand is elastic, and supply are inelastic
C. both supply and demand are elastic
D. demand is inelastic, and supply is elastic - Refer to Exhibit 4. If a tax is placed on the product in this market tax revenue paid by the sellers is the area ?
A. C + F
B. A
C. B
D. C - Within the supply and demand model, a tax collected from the sellers of a good shift the ?
A. demand curve downward by the size of the tax per unit.
B. supply curve downward by the size of the tax per unit
C. demand curve upward by the size of the tax per unit.
D. supply curve upward by the size of the tax per unit - What is called the tax that is levied on retail price of merchandise collected by retailer ?
A. Sales Tax
B. General Tax
C. Local Tax
D. Gross Tax
