Cows are a major source of methane which causes global warming. The government imposes a per-cow tax on all the dairy farms in Ontario. This tax would: Group of answer choices Increase methane emissions in Ontario. Reduce market quantity of milk in Ontario. Reduce the demand of milk in Ontario. Decrease the market price of milk in Ontario.

Cows are a major source of methane which causes global warming. The government imposes a per-cow tax on all the dairy farms in Ontario. This tax would: Group of answer choices Increase methane emissions in Ontario. Reduce market quantity of milk in Ontario. Reduce the demand of milk in Ontario. Decrease the market price of milk in Ontario.

MACROECONOMICS FOR TODAY

10th Edition

ISBN:9781337613057

Author:Tucker

Publisher:Tucker

Chapter4: Markets In Action

Section: Chapter Questions

Problem 15SQ

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Many studies on rats and mice have established that charred meat grilled over hot coals causes cancer. Since the government cannot easily regulate home cooking methods, an alternative method has been proposed to discourage the consumption of barbecued meat. The proposal is to place a 100 percent tax at the retail level on charcoal briquets. Suppose the daily demand for charcoal was P= 100-Q/10 and the supply was P= 1 + Q./100 where P is in dollars per bag and Q is the number of 20 lb bags of charcoal sold weekly. a. What is the before and after - tax price of charcoal? b. Graph and show the deadweight loss due to the tax c. Why might this deadweight loss over estimate the loss to society from this tax?
If the government sets a price ceiling in the market for fuel oil that falls below the equilibrium price , it will Question 14 options: lead to the quantity demanded of fuel oil exceeding the quantity supplied. lead to the quantity supplied of fuel oil exceeding the quantity demanded. decrease the demand for fuel oil. increase the supply of fuel oil. have no effect in the market for fuel oil.
A tax on the sellers of coffee will increase the price of coffee paid by buyers,
The number of people willing to buy tickets to the Super Bowl is invariably greater than the number of tickets (and seats) available. This is evidence that the price of the tickets is a.equal to the equilibrium price since the number of tickets bought equals the number sold. b.lower than the equilibrium price. c.higher than the equilibrium price. d.higher than the equilibrium price when the demand is inelastic but lower when the demand is elastic.
California LifeLine provides discounted home phone and cell phone service to qualified households. The service discount cannot exceed $39 per household. What would happen if the state of California were to increase the subsidy to $59 per household? Group of answer choices Supply would shift to the left Government payments to households would decrease The price consumers pay increases and the quantity consumed increases The price consumers pay falls and the quantity consumed increases
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Suppose the government implements a minimum price for fishery products. Which of the following situations is true? * A rise in wage rates An increase in the number of sellers of computers A tax placed on the production of computers A subsidy placed on the production of computers
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