-If the Government Puts a $2 Excise Tax on a Product

question 127

Multiple Choice

-If the government puts a $2 excise tax on a product and as a result,price rises by $0.75,which of the following statements is correct?

• A)The sellers pay more of the tax than the buyers.
• B)The buyers pay more of the tax than the sellers.
• C)The government's tax revenue falls.
• D)The quantity demanded of the product falls by 37.5%.
• E)The quantity demanded of the product rises by 37.5%.

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Definitions:

Vroom-Jago Leader-Participation Model

A leadership theory that suggests the effectiveness of a decision-making process is influenced by the leader's level of involvement and the participation of subordinates.

Vroom-Jago Leader-Participation Model

An advanced framework that aids in choosing the appropriate level of involvement for team members in decision-making, expanding on the Vroom-Jago methodology.

Consultative Decision

A decision made by a leader after receiving information, advice, or opinions from group members.

Leader Makes Decision

A leadership approach where the leader is the primary decision maker, often with little or no consultation with team members.