All of the Following Are Things That the Government Can

question 49

Multiple Choice

All of the following are things that the government can do to eliminate a surplus except:

• A) Give the surplus away to domestic consumers
• B) Increase the price
• C) Give the surplus away to foreign consumers
• D) Destroy the surplus

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Definitions:

Tariffs

Taxes imposed by a government on imported goods and services, often used to protect domestic industries from foreign competition or to generate revenue.

Sweden

A Scandinavian country in Northern Europe, known for its advanced welfare system, high standard of living, and innovative technology.

Absolute Advantage

The capacity of an entity to generate a higher volume of a certain good, product, or service compared to its rivals, while employing the same quantity of resources.

Italy

A country located in southern Europe, known for its rich history, culture, and significant contributions to art, food, and fashion.