Answer:
(g) Between 0 and -S7.5k because residents can substitute to other products
Explanation:
Data given in the question
Increase in price of typical soda = 10 cents
Total consumed = 150,000 sodas [er day
Dropped quantity = 75,000 sodas
So by considering the above information, the per day compensating variation of the tax varies from 0 and - 7,500
Since the sugar sweetened sodas is treated as a normal goods. Moreover, people can substitute the other goods also if there is an increase in a price of the good
The -7,500 is come from = (-75,000 × 0.10)
The options are as follows
(a) Greater than -$15k because soda is a luxury good with income (b) -$15k because that is the old consumption level times the value of the tax (c) Between -S7.5k and -$15k because soda is a luxury good elasticity > 1 with income elasticity >1 (d) Between -$7.5k arti -$15k because residents can substitute to other products (e) -$7.5k because that is the new consumption level times the value of the tax ()-$7.5k because that is the change in consumption times the value of the tax (g) Between 0 and -S7.5k because residents can substitute to other products (h) Between 0 and -$7.5k because because beverages are typically necessity goods with 6) Nothing because there was no effect on income G) It is impossible to say without knowing consumers' marginal rate of substitution income elasticity less than 1
Answer: I. A corporation is a taxable entity.
IV. A partnership allows for the flow through of gain and loss
Explanation:
A corporation is referred to as a legal entity that is created by stockholders, individuals, or shareholders, with the main aim of profit making while a limited partnership occurs when there are two or more partners that go into business together, it should be noted that either one partner or more will be are liable only to their investment amount
When comparing a corporation and a limited partnership, the options that are true are:
• A corporation is a taxable entity.
• A partnership allows for the flow through of gain and loss
Answer:
2. False
Explanation:
Market organization refers to the ways goods and services are bought and sold in the market.
Under market organization, individuals can communicate their buying decisions and their preferences and tastes directly to their peers and known ones which eventually affects the latter's decision making. This is a direct way of communication.
Similarly, another form of communication would be indirect wherein an individual conveys his/her choice of with whom they want to transact with rather than their preferences. Here the communication is indirect and this is a realistic possibility.
Hence the given statement is false.
Answer:
Law and Economics
Explanation:
Based on the information provided within the question it can be said that the school that is being described is the Law and Economics School of Jurisprudential thought. They promote market efficiency mainly due to the fact that they believe that markets are more efficient than the courts are in this modern world.
