Since the Supply of Undeveloped Land Is Relatively Inelastic, a Tax

question 2

Multiple Choice

Since the supply of undeveloped land is relatively inelastic, a tax on undeveloped land would generate

• A) a small deadweight loss and the burden of the tax would fall on the renter.
• B) a large deadweight loss and the burden of the tax would fall on the landlord.
• C) a large deadweight loss and the burden of the tax would fall on the renter.
• D) a small deadweight loss and the burden of the tax would fall on the landlord.

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Definitions:

Underdeveloped Abilities

Skills or capabilities that have not yet achieved their full potential or expected level of maturity in an individual.

Distractibility

The extent to which external stimuli or unrelated thoughts can divert an individual's attention from the task at hand.

Executive Functioning

cognitive processes including planning, working memory, attention, problem solving, verbal reasoning, inhibition, mental flexibility, task switching, and initiation and monitoring of actions.

Academic Performance

A measurement of a student's progress and achievements in educational subjects, often graded.