Mark,Kerry,Greg,and Carlos Each Like Chicago Cubs Baseball Games

question 21

Multiple Choice

Mark,Kerry,Greg,and Carlos each like Chicago Cubs baseball games.The single-game ticket price for an infield box seat is $50.Mark values a ticket at $70,Kerry at $65,Greg at $60,and Carlos at $55.Suppose that if the government taxes tickets at $5 each,the selling price will rise to $55.A consequence of the tax is that

• A) consumer surplus shrinks by $50 and tax revenues increase by $20, so there is a deadweight loss of $30.
• B) consumer surplus shrinks by $30 and tax revenues increase by $20, so there is a deadweight loss of $10.
• C) consumer surplus shrinks by $20 and tax revenues increase by $20, so there is no deadweight loss.
• D) consumer surplus shrinks by $50 and tax revenues increase by $20, so there is no deadweight loss.

---

Definitions:

Balancing Demands

The process of managing various expectations or requirements from different aspects of one's life or job.

On-site Day Care

Child care services provided at the workplace, allowing employees to bring their children to a convenient location near them during work hours.

Inflexible Working Hours

A rigid schedule that does not allow variation in work time.

Extrinsic Factors

External influences or circumstances that can affect an individual's motivation, behavior, and conditions without being inherent to the task or subject itself.