The Deadweight Loss from a Tax Is Likely to Be

question 55

Multiple Choice

The deadweight loss from a tax is likely to be less with a good that has

• A) few complements.
• B) many substitutes.
• C) few substitutes.
• D) an elastic demand.
• E) an elastic supply.

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Definitions:

Datum Axis

An imaginary line or surface referenced in manufacturing or inspection of parts and assemblies to ensure coordination and correctness of dimension and tolerance specifications.

Circular Runout

A tolerance that controls the uniformity of a feature's surface as it is rotated about a datum axis.

Eccentricity

Eccentricity refers to the degree to which a geometric shape’s center does not align with a reference axis or point, crucial in designing rotating parts to minimize imbalance.

Cylindricity

A form tolerance that defines how much a cylindrical feature's actual profile may deviate from a perfect cylinder.