An Increase in the Size of a Tax Is Most

question 1

Multiple Choice

An increase in the size of a tax is most likely to increase tax revenue in a market with

• A)elastic demand and elastic supply.
• B)elastic demand and inelastic supply.
• C)inelastic demand and elastic supply.
• D)inelastic demand and inelastic supply.

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Definitions:

Union

An organization, especially of workers, formed to protect and advance the rights and interests of its members, typically regarding wages, working conditions, and employment terms.

Increasing Benefits

Enhancing or expanding the advantages or positive outcomes provided by a service, policy, or program over time.

Employer Duties

Refers to the responsibilities and obligations an employer has towards their employees, including providing a safe working environment and paying wages.

Securities Act

Legislation enacted to ensure more transparency in financial statements so investors can make informed decisions about investments.