Figure 8-7 the Vertical Distance Between Points a and B Represents a Represents

question 106

Multiple Choice

Figure 8-7
The vertical distance between points A and B represents a tax in the market.
-Refer to Figure 8-7.The deadweight loss associated with this tax amounts to

• A)$80,and this figure represents the amount by which tax revenue to the government exceeds the combined loss of producer and consumer surpluses.
• B)$80,and this figure represents the surplus that is lost because the tax discourages mutually advantageous trades between buyers and sellers.
• C)$60,and this figure represents the amount by which tax revenue to the government exceeds the combined loss of producer and consumer surpluses.
• D)$60,and this figure represents the surplus that is lost because the tax discourages mutually advantageous trades between buyers and sellers.

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Definitions:

Otosclerosis

A disorder of the middle ear that causes hearing loss due to abnormal bone growth around the stapes bone, which can immobilize it and prevent sound from entering the inner ear.

Pruritus

The medical term for itching, a symptom that can result from various conditions and cause a desire to scratch.

Jaeger Chart

A chart used in eye examinations consisting of texts of various sizes to test near vision acuity.

Hyperopia

A vision condition also known as farsightedness, where distant objects are seen more clearly than close ones.