If the Demand for a Product Is Perfectly Elastic and Supply

question 316

Multiple Choice

If the demand for a product is perfectly elastic and supply is upsloping, a $1 excise tax per unit on suppliers will

• A)not raise price at all.
• B)raise price by less than $1.
• C)raise price by more than $1.
• D)raise price by $1.

---

Definitions:

Offspring

The product of reproduction of a new organism produced by one or more parents.

Age Structure

The number and proportion of people at each age in a population. Age structure diagrams represent the number of males and females at each age, from birth to death, in the population.

Iteroparous

Describes organisms that can reproduce multiple times over their lifetimes, as opposed to only once.

Invertebrates

Multicellular organisms that lack a vertebral column or backbone.