Economics Mcqs — Test 81

Page 1 of 3

Question 1

Refer to Exhibit 4. If a tax is placed on the product in this market total surplus is the area ?

Question 2

Refer to Exhibit 4. Which of the following is true with regard to the burden of the tax in Exhibit 4 ?

Question 3

A tax on petrol is likely to ?

Question 4

Since the supply of undeveloped land is relatively inelastic a tax on undeveloped land would generate ?

Question 5

Refer to Exhibit 4. If a tax is placed on the product in this market, producer surplus is the area?

Question 6

A tax system is regarded as horizontally equitable if ?

Question 7

Which of the following taxes can be supported by the benefits principle of taxation ?

Question 8

Refer to Exhibit 4. If there is no tax placed on the product in this market, producer surplus is the area ?

Question 9

The average tax rate is ?

Question 10

The ability-to-pay principle of taxation suggests that if a tax system is to be vertically equitable it should be ?