If the government institutes a specific tax for a good that has a perfectly inelastic demand curve       A)the producer passes the entire tax on to the consumer.       B)the equilibrium price drops.       C)the producer must absorb the entire tax.       D)the producer can generally only pass part of the tax onto the consumer.

Q: The following table shows the effect of an import tariff on the nation of Isoland. Complete the…

A: A tax that is being imposed by one country on the goods and services that are being imported from…

Q: Explain the multiplier effect by analysing how a typical consumer would react to this  tax cut and…

A: Fiscal multipliers measure the impact of discretionary fiscal policy on output of the economy.They…

Q: Which is an incorrect statement regarding taxes? *       a. Taxes are necessary for the continued…

A: Taxes are the compulsory fees or financial charge imposed by the government on the taxpayers.

Q: A Higher business tax will (Please select the best choice) (A) increase inflation (B) decrease…

A: Inflation refers to the rise in price levels of products or services. It generally happens if the…

Q: Suppose the government buys up all of the farmers' output at the floor price and then sells the…

A: A consumer is a person or group of people who purchases or we can says buys the product or service…

Q: Which of the following might discourage covered interest arbitrage even if interest rate parity does…

A: In a Covered interest rate arbitrage one uses favorable interest rate differentials to invest in a…

Q: True or false is regulatory tax is intended to achieve some social or economic end?

A: Regulatory tax: Regulatory taxes are the charge or levy of taxes by the government on the general…

Q: Sales taxes tend to be regressive, that is why food, medicine are often excluded.a). True b). Fales

A: Regressive taxes are those taxes which are distributed uniformly among both low income group and…

Q: In the case of income tax there are high tapayer costs but low government costs True False Question…

A: Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: Why might revenues generated from the tax fall short of expectations?   2. Do you think that…

A: Everybody has needs and wants. The demands and wants may not all be able to be met by the current…

Q: Which of the following statements is (are) correct? (x)  Part of the administrative burden of a tax…

A: A mortgage is a contract between borrower and a lender that provides the lender the right to take…

Q: discuss how trumps fiscal policy is affecting you.

A: Sometimes when a government wants to change the aggregate demand it does it smoothly by changing the…

Q: If there is a conflict between a BIR Ruling and a Revenue Memorandum Ruling, which will prevail?

A: The Bureau of Internal Revenue work under the department of finance and all the duties and…

Q: The Federal Trade Commission (FTC) brings a deceptive trade practice action against Beneficial…

A: The slogan “Instant tax refund” is highly misleading. When the financial product of Beneficial’s…

Q: Which of the following is false regarding consumption and business tax?

A: Every person making earnings either by the business or by the doing  a job is liable to pay tax. The…

Q: Even if we know that global warming due to rising levels of carbon dioxide in the atmosphere is a…

A: global warming is caused due to rise in the level of carbon dioxide and other gases. carbon dioxide…

Q: If you want to cut taxes and deficits, just what programs are you prepared to cut?

A: Tax cuts square measure changes within the law that scale back your tax payment alongside income.…

Q: What does the Miller model with personal and corporate taxes implyabout value relative to the MM…

A: Answer: The Modigliani and miller approach states that, aside from the risk inherent in the project,…

Q: Which of the following statements is NOT true? A) A progressive tax system should increase the…

A: The progressive tax system is the tax system where the income of the people is taxed according to…

Q: That type of tax is involved in each scenario? The choices are: proportional tax K, regressive tax,…

A: A progressive tax is the concept that actually increases the burden of tax on those whose income is…

Q: What statement is false? a. A tax on consumption will effectively result in virtually all residents…

A: The question is related to consumption Tax. A consumption tax is a tax on the purchase of a good or…

Q: Taxes result in an excess burden or welfare loss, but government subsidies always result in a…

A:

Q: earnings below a certain threshold are taxed. What is your opinion on the fairness of this tax?

A: social security tax is such type of tax in which a percentage of the gross wages that most of the…

Q: Vat tax - the popularity of this type of tax, the nature of this type of tax and the effect on…

A: Value Added Tax (VAT):  It is a consumption tax placed on manufactured goods, at whatever time value…

Q: Should the IRS and the Department of the Treasury consider alternative tax systems, such as Flat…

A: Taxes refers to the money or amount of sum that the government requires people or businessman as…

Q: favorable tax status

A: Favorable tax status is an advantage of getting reduced tax rates or taxable income or exemption…

Q: Which of the following statements is/are correct criteria of the good tax? a. Good taxation should…

A: Fairness, sufficiency, simplicity, transparency, and administrative convenience are the five…

Q: The government should tax itself? Yes or no

A: A tax is a sum of money that is must be paid to the government in order for it to provide public…

Q: that without taxes, a government would be paralyzed for lack of power to activate and operate it,…

A: Taxes are levied by the government on their citizen in order to generate the income for the project…

Q: Theory provides that without taxes, a government would be paralyzed for lack of power to activate…

A: Tax is the amount through which government gets its funds by way of the collecting tax amount from…

Q: Can the effective rate of tax be negative? Why? or Why

A: it is sometimes possible that effective tax may be negative.This is but rare cases but sometimes it…

Q: Tax deductions differ from tax credits because:   A. deductions affect relative prices, credits do…

A: Tax Deduction:-Tax Deduction means when there is subtraction in the taxable income of a person under…

Q: The money creation (seigniorage) to finance government purchases  a. is inferior to a non…

A: Answer are as follows

Q: Discuss carefully the following quotation: “It is reasonable to assume . . . that business can pass…

A: Value added tax is an indirect tax that is levied at each point in which value is added to the…

Q: Of the following, the most likely effect of an increase in income tax rates would be to: decrease…

A: Income Tax: Income earned by a taxable person during the previous year is subject to income tax,…

Q: In the case of property tax, government costs are low but taxpayer cost are high

A: Property tax levy is imposed primarily on land and buildings and also imposed on business,farm…

Market Efficiency

Market efficiency refers to the market's ability to provide investors with all available information about investment options for buying and selling securities. Market efficiency reflects the true value of securities without undervaluing or overvaluing them. When the quality and quantity of information increase, the market becomes more efficient, allowing it to reduce arbitrage and obtain higher market returns from investment. In a well-functioning market, everyone receives all information completely and immediately at no cost. It opens up a plethora of opportunities for investors to access various investment options.