If the Tax on a Good Is Increased from $0

question 62

Multiple Choice

If the tax on a good is increased from $0.30 per unit to $0.90 per unit,the deadweight loss from the tax

• A)remains constant.
• B)increases by a factor of 4.
• C)increases by a factor of 9.
• D)increases by a factor of 16.

---

Definitions:

Flame Cells

Specialized cells in certain invertebrates, including flatworms, used for excreting excess water and waste.

Hemolymph

A fluid equivalent to blood in most invertebrates, occupying the interior of their bodies and bathing their cells.

Hemocoel

Residual coelom found in arthropods, which is filled with hemolymph.

Circulatory System

The body's system responsible for transporting blood, nutrients, gases, and wastes to and from cells.