Figure 8-19 the Vertical Distance Between Points a and B Represents the Represents

question 20

Multiple Choice

Figure 8-19
The vertical distance between points A and B represents the original tax.
-Refer to Figure 8-19.If the government changed the per-unit tax from $5.00 to $2.50,then the price paid by buyers would be $7.50,the price received by sellers would be $5,and the quantity sold in the market would be 1.5 units.Compared to the original tax rate,this lower tax rate would

• A)increase government revenue and increase the deadweight loss from the tax.
• B)increase government revenue and decrease the deadweight loss from the tax.
• C)decrease government revenue and increase the deadweight loss from the tax.
• D)decrease government revenue and decrease the deadweight loss from the tax.

---

Definitions:

Life-After-Life

Concepts or beliefs about existence beyond death, often associated with philosophical, religious, or metaphysical speculation.

Religious

Pertaining to or connected with a belief in, worship of, or adherence to a deity or deities and the practices associated with such belief.

Nonreligious

Pertaining to individuals or philosophies that do not subscribe to any religious beliefs or practices.

Situational Adjustment

The process by which an individual is molded by the group into which he or she is seeking acceptance. The person learns from the group how to continue successfully in a situation.