A(n) ______ Instrument of Public Policy Collects Revenue from One

question 33

Multiple Choice

A(n) ______ instrument of public policy collects revenue from one group and spends it on services for a different group.

• A) redistributive
• B) market-based incentive
• C) regulatory
• D) salient

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Definitions:

Total Revenue

The total amount of money received by a company for goods sold or services provided during a certain period.

Quantity Demanded

The total amount of a good or service that consumers are willing and able to purchase at a given price, over a specified period of time.

Midpoint Formula

A method used to calculate the elasticity of demand or supply, assessing the percentage change in quantity demanded or supplied relative to the percentage change in price.

Price Elasticity

A measure of how much the quantity demanded of a good or service changes in response to a change in its price.