The Demand Curve for Pizza Is Downward Sloping and the Supply

question 157

Multiple Choice

The demand curve for pizza is downward sloping and the supply curve is upward sloping.If the government imposes a $2 tax on a pizza,________ the tax.

• A) only consumers pay
• B) only producers pay
• C) both producers and consumers pay part of
• D) neither producers nor consumers pay part of
• E) the government pays

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Definitions:

Administrative Law

A branch of public law that governs the activities of administrative agencies of government including rulemaking, adjudication, or the enforcement of a specific regulatory agenda.

Administrative Hearings

Proceedings conducted by a government agency to resolve disputes, apply regulations, or impose penalties, typically less formal than court trials.

Jury

A group of people sworn to render a verdict or decision in a legal case based on the evidence presented to them.

Informal Rulemaking

A process used by government agencies to create regulations through a less formal procedure that usually involves publishing a proposed rule, allowing public comment, and then issuing a final rule.