A Good Has a Perfectly Inelastic Supply and a Downward-

question 16

Multiple Choice

A good has a perfectly inelastic supply and a downward- sloping demand curve. Imposing a sales tax of $1 per unit on the sellers of the good

• A) raises the price paid by demanders by $1.00.
• B) raises the price paid by demanders by more than $1.00.
• C) raises the price paid by demanders by less than $1.00.
• D) does not change the price paid by demanders.

---

Definitions:

Title Company

A company that specializes in examining and insuring titles to real estate properties.

Transfer of Title

The legal process of transferring ownership of a property or asset from one party to another.

Trade Fixtures

Personal property items attached to a property that are used in a trade or business and can be removed by the lessee when the lease ends.

Sublease

An agreement where the original tenant of a lease rents out their space to another party (the subtenant) for a period within the lease term.