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:

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Small rodents that are often found in both wild and domestic environments, sometimes considered pests.

Selection Bias

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Certificates or coupons that can be exchanged for goods, services, or a reduction in charges, often provided as part of a promotional or welfare program.

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Refers to the construction and assigned usage of houses or buildings collectively, for the purpose of sheltering people—the activity of providing homes.