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Allisa [31]
3 years ago
13

In an effort to raise more tax revenue from the upper class, the government decides to impose a new tax on luxury goods like yac

hts, which increases the price of these goods by 50%. Which of the following is likely a secondary effect of this policy?
a.the laying off of hundreds of poor and middle-class yacht makers as the wealthy spend their money elsewhere.
b.An increase in the production of yachts by workers in the yacht industry
c.Increased profits by domestic yacht producers
d.There are no seondary effects, all carefully calculated government policies work out exactly as intended.
Business
1 answer:
statuscvo [17]3 years ago
3 0

Answer:

The correct answer is A. A secondary effect of an increase on yacht tax rates would be the laying off of hundreds of poor and middle-class yacht makers as the wealthy spend their money elsewhere.

Explanation:

The tax increase of a certain product necessarily increases the final price of that product, that is, when the tax rate is raised, the amount of money necessary to buy said good rises.

In turn, according to the law of demand, the higher the price, the lower the quantity demanded of the product. In other words, this tax increase would produce a drop in the demand for yachts.

If demand falls, the income of producers and sellers of the product falls. This is where production is affected, since small and medium producers will have greater difficulties to cope with the drop in sales, often incurring losses that would lead to having to close the business.

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What can we learn from the employment data? Assume Country X has the following statistics: Total relevant population = 50,000,00
svlad2 [7]

Answer:

Country x

Population size 50,000,000

Full time students 4,200,000

Not employed & not searching 6,000,000

Not employed and searching 2,336,000

Employed 29,664,000

Labour force is defined as the population of the economy currently engaged in some employment and those jobless but available or searching for employment

Labour force is 32,000,000

Labor force participation rate is the labor force divided by the population size.

= 64%

Unemployment rate is defined as members of a country not employed and are searching or seeking employment.

= 4.7%

3 0
3 years ago
Internal control is a process designed to ensure
Sauron [17]

Answer:

Internal Control is designed to ensure all of the items described in the answer.

Explanation:

Internal control refers to the control measures adopted by an entity so as to ensure compliance with legal framework, check frauds and errors and for reliable financial reporting.

Compliance procedures are the processes designed to check whether internal controls exist in an organization and if they do, whether such controls are operating effectively.

For e.g biometric authentication with regard to attendance keeps a check on the number of employees actually working during a period and eliminates the possibility of dummy names in the attendance records. This is an example of internal control i.e control measures created by organization itself.

8 0
3 years ago
Beaverton Lumber purchased a milling machine for $35,000. In addition to the purchase price, Beaverton made the following expend
salantis [7]

Answer:

$41,500

Explanation:

Calculation to determine What was the initial cost of the machine to be capitalized

Purchase price $35,000

Add Freight $1,500

Add Installation $3,000

Add Testing $2,000

Total Cost $41,500

Therefore the initial cost of the machine is $41,500

3 0
3 years ago
If Ed=2 and price decreases by 1%, by what percentage and in what direction will quantity demanded change?
Arte-miy333 [17]

<u>Given:</u>

Elasticity of Demand = 2

Decrease in price = 1%

<u>To find:</u>

Change in quantity demanded

<u>Solution:</u>

The percentage change in quantity demanded is the mathematical product of the percentage change in price and elasticity of demand. This can be mathematically represented as,

\% \text{ change in quantity demanded }=\% \text{ change in price }\times\text{Elasticity of demand }\\\\ \Rightarrow \% \text{ change in quantity demanded }=1\times2\rightarrow 2\%

Since, there is a decrease in price, the demand for the product will increase. Therefore, we can conclude that there will be 2% increase in quantity demanded

3 0
3 years ago
Capacity conciderations in a hospital ​
Masja [62]

Capacity conciderations in a hospital are:

Productions and Operations Management

4 0
3 years ago
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