Taxing the production of the good

Q: The market for cleansers in China is perfectly competitive. Market demand is the usual downward…

A: In a perfectly competitive market, there are large number of sellers selling identical product. The…

Q: 6. The Role of Government: Tax and plastic bags A. In the diagram, identify the lines that express…

A: c) The impact of tax depends on the elasticities of demand and supply curves i.e. the responsiveness…

Q: 1) Besides raising revenue, what is the most likely goal of government that enacts a per unit tax.…

A: Hi! Thank you for the question but as per the guidelines, we answer only one question at one time.…

Q: 3.1. (Government) Complete each of the following sentences: a. When the private operation of a…

A: a. When the private operation of a market leads to overproduction or underproduction of some good,…

Q: You should research evidence of market failure and government intervention in the assigned country.…

A: Market failure is the situation when there is an insufficient supply of a good or service as…

Q: I need help with question 2. You guys have already answered number 1.  Externalities and Tax…

A: Answer 2. An externality is a cost or benefit incurred or received by a producer that is not paid…

Q: All of the following are sources of inefficiency except: a. public goods. b. the invisible hand. c.…

A: Hi, according to our guidelines we are allowed to answer only one question in a single session. So I…

Q: Problem 1 Historically, vaccinations have prevented the spread of certain diseases such as chicken…

A: Hi! Thankyou for the question, As per the honor code, We'll answer first question since the exact…

Q: Most U.S. states impose gasoline taxes as a way to collect revenue. Assume that there are no market…

A: Note: “Since you have asked multiple questions, we will solve the first question for you. If you…

Q: A government decides that product X is a demerit good and product Y is a public good. Which policy…

A: "Correct answer is option d."

Q: According to free-market economists: a. when capital goods are allocated by the market, they will…

A: The free-market economist believes in minimum or no intervention in the production distribution or…

Q: The people of Chingola district a town in the Copperbelt province of Zambia are concerned over the…

A: Externality means spillover effect of economic activities motivated by profit or satisfaction on…

Q: Explain the graph that I have provided about the PRIVATE COST and SOCIAL COST of EDUCATION

A: Cost is defined as the total expenditure incurred in the production of goods or services. Cost is…

Q: The Lindahl equilibrium involves producing how many units of the public good? At what tax share?

A: Public goods are those goods that are nonrival and nonexcludable. Nonrival means one cannot consume…

Q: Use the following diagram, which depicts a typical market with a positive externality, to answer…

A: Answer (20): Without government intervention, the competitive equilibrium will prevail and the…

Q: Suppose a political candidate criticizes a government pollution permit policy that she says lets…

A: Answer: Correct option: (2) A free market in tradable pollution permits is typically more efficient…

Q: Use the table below, which shows the demand for a public good in an economy consisting of two…

A: Public goods are those goods or commodities which are given to the people of the society by using…

Q: Suppose a new social service is introduced by a government at a cost of $3,000. This service has not…

A: Marginal Benefit (MB) is defined as the satisfaction which is derived by a consumer from the…

Q: The following table shows how the marginal benefit of a service varies for five consumers. Quantity…

A: Given  Quantity 1 2 3 Serkan 150 125 100 Asuman 125 100 75 Bahar 100 75 50 Murat 200 150…

Q: Which of the following statements about corrective taxes is generally not true? a) Economists…

A: When a commercial activity produces negative externalities, a corrective tax is imposed. The tax is…

Q: terms of the four major theories of the social responsibility of business. which one of the…

A: 1a) Ethical Action one of the hypotheses I most enthusiastically support, and on the grounds that…

Q: Adam Smith proposed taxing ‘Sugar, rum and tobacco’ because they are: “nowhere necessaries of life”…

A: Adam Smith proposed taxing ‘Sugar, rum and tobacco’ because they is: “nowhere necessaries of life”…

Q: Consider a municipality with three types of households: A, B, and C. The municipality provides z…

A: Individual demand curves : DA= 50 − z ,   DB= 30 − 3/5z,     DC= 20 − 2/5z   Social demand curve is…

Q: Which of the following is not an argument against government intervention in a market? A. If the…

A: Government intervention means influence the demand and supply forces . And fix the the price and…

Q: 5. Suppose that on a campus, girls' demand for an air freshener is P 10- Q, and boys' demand is P =…

A: In the case of private goods, horizontal summation of individual demands is done to find the…

Q: Describe the case made by economists for public provision of essentially private goods such as food,…

A: A private good is a product that must be purchased in order to be consumed, and consumption by one…

Q: What can the government do to solve the problem of inadequate levels of public goods? Explain how…

A: inadequate levels of public goods refers to the market failure and in economics, market failure is a…

Q: Externalities can be ________ by collective (i.e.) ________ action. a. enhanced // market b.…

A: Governments and establishments regularly make moves to disguise externalities, in this way…

Q: if the marginal social benefit exceeds the marginal private benefit, the eficiency of the market can…

A: Marginal Private Benefit is referred to as the additional benefit derived by consuming one extra…

Q: In Figure 17.3, the government may optimally regulate the paper market by taxing output. Given that…

A: Cost of production  Manufacturing cost or the cost which is incurred by the firm and industry at the…

Q: Some economists think that gas taxes in Europe, averaging around $2.50 per gallon, are too high from…

A: Graph shows the gasoline market when taxes are imposed and cut in Europe:-

Q: Consider the diagram below which depicts a two-household community consisting of hOusehold A and…

A: Public goods refers those goods which are non excludable and non rivalry. Private goods are…

Q: The graph shows the private supply and demand curves for spaceships in Spacelandia. The craft are…

A: In a market, negative externality needs to the rectified or reduced by the government to increase…

Q: True or False? For a perfectly competitive market (with no externalities) where a positive per unit…

A: Perfect competition refers to the situation where there are large number of prouder and consumers…

Q: With the provision of a public good: A) Everyone who uses the good benefits from it in proportion…

A: As the name suggests, Public goods are those goods made available by the government for the benefit…