The Russian Government Wants to Reduce the Consumption of Vodka

question 62

Multiple Choice

The Russian government wants to reduce the consumption of vodka. A one hundred rouble tax on each bottle purchased may reduce the consumption of vodka under which circumstance(s) ?

• A) Vodka is an inferior good.
• B) Vodka is a normal good.
• C) Vodka is an inferior good and the taxes collected from this tax are rebated to consumers.
• D) Vodka is a normal good and the taxes collected from this tax are rebated to consumers.
• E) both B and C

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Definitions:

Economic Terms

Language and vocabulary that pertain to the discipline of economics, dealing with the production, distribution, and consumption of goods and services.

Political Terms

Specific terminology used within the context of politics to describe processes, ideologies, structures, and roles.

Ingroup Favoritism

A psychological pattern where individuals prefer and favor members of their own group over those from different groups.

Prejudiced

Prejudiced refers to having preconceived opinions or judgements about something or someone, often involving negative and unfounded attitudes towards different races, genders, or other social groups.