If a Tax Is Placed on One Good and Not

question 25

Multiple Choice

If a tax is placed on one good and not another, the effect that causes you to buy less of the taxed good because it has become relatively more expensive is called the

• A)substitution effect.
• B)net effect.
• C)income effect.
• D)domino effect.

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Definitions:

Human Rights Code

A legal document which outlines the fundamental rights and freedoms that individuals are entitled to.

Employment Standards Act

This refers to legislation that sets out minimum employment standards within a jurisdiction, covering wages, hours, vacations, and other workplace entitlements.

Labour Relations Code

Legislation that regulates the relationship between employers and unions, including the right to collective bargaining and strikes.

Lawful Strike

A work stoppage by a group of workers that is conducted according to legal guidelines and not prohibited by law.