In Which of the Following Instances Would the Deadweight Loss

question 63

Multiple Choice

In which of the following instances would the deadweight loss of the tax on airline tickets increase by a factor of 9?

• A)The tax on airline tickets increases from $20 per ticket to $60 per ticket.
• B)The tax on airline tickets increases from $20 per ticket to $90 per ticket.
• C)The tax on airline tickets increases from $15 per ticket to $60 per ticket.
• D)The tax on airline tickets increases from $15 per ticket to $135 per ticket.

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Definitions:

Telecommuting

The practice of working from a location outside the traditional office environment, often from home, facilitated through digital communication tools.

Information Technology

Refers to the use of computers, storage, networking, and other physical devices, infrastructure, and processes to create, process, store, secure, and exchange all forms of electronic data.

Declining Numbers

A trend or situation characterized by a gradual decrease in quantity or quality over time.