In an Otherwise Efficient Market,an Excise Tax Causes ________ Because

question 92

Multiple Choice

In an otherwise efficient market,an excise tax causes ________ because it distorts the relationship between ________.

• A)allocative inefficiency; prices and marginal costs
• B)allocative inefficiency; pre-tax price and the tax price
• C)productive inefficiency; costs and output
• D)market inefficiencies; prices of similar goods
• E)voter resentment; income and ability to pay

Define and recognize forms of discrimination against people with disabilities.

Comprehend the economic burden of health care on a nation's GDP.

Understand the socio-economic and health-related challenges faced by the elderly population.

Analyze different sociological theories applied to disability and health.

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Definitions:

Average Tax Rate

The fraction of total income that is paid in taxes, calculated by dividing the total taxes paid by the total taxable income.

Ability-To-Pay Principle

A tax theory stating that taxes should be levied according to an individual or entity’s capacity to pay.

Benefits Principle

A theory in taxation stating that those who benefit from government services should pay taxes in proportion to the amount they benefit.

Government Services

Public programs and activities provided by the federal, state, and local governments to benefit their citizens.