Biology Forums - Study Force

A law requiring sellers to pay the government a tax per pack on cigarettes has the effect of:
 a. shifting the supply curve to the right.
  b. shifting the demand curve to the right.
  c. shifting the supply curve to the left.
  d. shifting the demand curve to the left.

QUESTION 2

Marginal revenue is the change in:
 a. total revenue resulting from a one unit change in output.
  b. total revenue resulting from a change in marginal cost.
  c. price resulting from a one unit change in output.
  d. none of these.

QUESTION 3

If the government wants to raise tax revenue and shift most of the tax burden to the sellers it would impose a tax on a good with a:
 a. flat (elastic) demand curve and a steep (inelastic) supply curve.
  b. steep (inelastic) demand curve and a flat (elastic) supply curve.
  c. steep (inelastic) demand curve and steep (inelastic) demand curve.
  d. flat (elastic) demand curve and a flat (elastic) supply curve.

QUESTION 4

If a perfectly competitive firm sells 50 units of output at a market price of 10 per unit, its marginal revenue is:
 a. more than 10.
  b. less than 10.
  c. 10.
  d. 5300.

QUESTION 5

If the government wants to raise tax revenue and shift most of the tax burden to the consumers, it would impose a tax on a good with a:
 a. flat (elastic) demand curve and a steep (inelastic) supply curve.
  b. steep (inelastic) demand curve and a flat (elastic) supply curve.
  c. steep (inelastic) demand curve and steep (inelastic) demand curve.
  d. flat (elastic) demand curve and a flat (elastic) supply curve.

QUESTION 6

The marginal revenue of a price taker is:
 a. equal to price.
  b. less than price.
  c. more than price.
  d. unrelated to price.

Content hidden

:white_check_mark: Correct!