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Which of the Following Is Definitely True for a Per-Unit

Question 30

Multiple Choice

Which of the following is definitely true for a per-unit tax in the goods market where neither demand nor supply is perfectly inelastic:


A) The more price inelastic demand is, the lower deadweight loss will be.
B) The more price inelastic supply is, the higher deadweight loss will be.
C) A demand become more price inelastic, the after tax price for consumers rises.
D) Both (a) and (b)
E) Both (b) and c
F) Both (a) and (c)
G) All of the above
H) None of the above

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