When the Imposition of an Excise Tax Causes the Quantity

question 117

Multiple Choice

When the imposition of an excise tax causes the quantity demanded and quantity supplied to decrease relative to the no-tax equilibrium,this will result in:

• A)deadweight loss.
• B)increases in producer surplus.
• C)increases in consumer surplus.
• D)increases in both consumer and producer surplus.

Understand the role and functions of the World Trade Organization (WTO).

Discuss various trade policies and agreements, including GATT and the Trade Adjustment Assistance Act.

Understand the impact of labor migration on world output and economies of involved countries.

Recognize the complex relationship between immigration (legal and illegal) and the labor market, including displacement of domestic workers and wage impacts.