Suppose the Market Demand for Cigarettes Is: D=10- P, and the Supply

question 75

Multiple Choice

Suppose the market demand for cigarettes is: D=10- P, and the supply of cigarettes is: S=- 2+P, where P is the price per pack of cigarettes. If the government imposes a cigarette tax of $1 per pack, the consumers' tax burden is:

• A)$0.75.
• B)$1.75.
• C)$0.
• D)$0.5.

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Definitions:

Operant

An accidental or random action.

Reinforcement

An event that an individual experiences as pleasurable or rewarding, which increases the frequency of a behavior that occurred immediately before the pleasurable event.

Rewarded

Being given something, typically a token of appreciation or payment, in response or recognition for one's action or service.

Exosystem

In Bronfenbrenner’s bioecological model, the level of the environment that children may not directly interact with but that influences them nonetheless.