A Tax Would Not Impose a Welfare Cost Only If:​

question 92

Multiple Choice

A tax would not impose a welfare cost only if:​

• A)​the quantity exchanged did not change as a result.
• B)​supply was perfectly elastic.
• C)​supply was unit elastic.
• D)​the demand curve was perfectly elastic.

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Definitions:

Chlorophyll

A green pigment responsible for the absorption of light to provide energy for photosynthesis, found in the chloroplasts of green plants and some bacteria.

Heterotrophs

Organisms that obtain their energy by consuming other living or deceased organisms, unable to synthesize their own food.

Photosynthesize

The process by which green plants, algae, and certain bacteria convert light energy into chemical energy, producing oxygen as a byproduct.