If the government raises the excise tax of the product then supply curve tends to shift leftwards. Therefore, The above statement is false.
<h3>What is Supply Curve?</h3>
The supply curve refers to the graphical representation of the supply and the prices of the commodity. It tells how the supply of the commodity affects the prices of the product.
The complete question is attached below.
According to the above situation, when government increases the taxes of the gallon of gasoline then the supply curve will shift leftwards as the supply decreases.
It will lead to the increment in the level of the prices as the demand of the product will fall. Therefore, the above statement is false.
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The best and most correct answer among the choices provided by the question is the third choice. A priority for an insurance coverage would be that a planned expense for which you budget. <span>I hope my answer has come to your help. God bless and have a nice day ahead!</span>
Answer: Conducting a situation analysis
Explanation:
Answer:
In a monopolized market, producer surplus is higher than in a competitive market, while consumer surplus is lower.
Explanation:
A monopolized market is a market in which there is only one producer or seller of a product. The monopolist has market power. A competitive market is a market with many buyers and sellers who cannot individually influence price. In a competitive market, the players are price takers. Consumer surplus measures the difference between what the consumer was willing to pay for a particular commodity and how much he actually pays. Producer surplus refers to the excess of price received by producer over the unit cost of production. Total surplus is the addition of consumer surplus and producer surplus.
In a monopolized market, total surplus is lower than in a competitive market because monopolistic market is characterised with lower quantity and higher prices when compared with competitive market. However, producer surplus is higher in a monopoly market than in a competitive market. This is because in monopoly market the seller makes economic profit by setting prices above his unit cost; this is not possible in competitive market since prices are set at the point where average revenue (price) equals average cost. There is dead weight loss in the outcome of a monopolistic market. This implies a lower total surplus when compared to competitive markets. Consumer surplus is lower in monopolized market because consumers pay higher prices for lower quantities than in competitive markets.
Answer: 1.37%
Explanation:
The risk premium for a company that has a yield rate of 6.30% when the risk-free rate is 4.93% will simply be calculated by subtracting the risk free rate from the yield rate. This will then be:
= 6.30% - 4.93%
= 1.37%
