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:

Planning Phase

An initial stage in various processes where objectives are defined, resources are allocated, and strategies are developed to achieve goals.

Evaluation Phase

The stage in a process or project where the performance, outcomes, or results are assessed against predefined objectives or criteria.

Forecasting

The practice of making predictions about future events or trends based on historical data and analysis.