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3 years ago

governments that are interested in minimizing the efficiency costs of taxation should only tax goods where

Business

2 answers:

lisov135 [29]3 years ago

6 0

Answer:

Governments that are interested in minimizing the efficiency costs of taxation should only tax goods where demand or supply, or both, are relatively inelastic.

Explanation:

hope this helps

Scorpion4ik [409]3 years ago

4 0

If a government is interested in minimizing the efficiency cost of taxation, they should only tax goods where the demand, supply, or both are relatively inelastic. If the price is elastic, then the tax could change the efficiency of the cost. Remember, prices that are inelastic are harder to change, while elastic prices are easier to effect through things such as taxes.

I hope this helps! :)

Read more about the output phase,

brainly.com/question/14863117

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4 0

2 years ago

regarding open-end and closed-end investment companies, all of the following are true except a) both may be either diversified o

zimovet [89]

The false statement is both offer an unlimited number of shares in a continuous public offering. (option c)

<h3>What are open-end and closed-end investment companies?</h3>

Open-end investment companies are companies that allow investors invest in their company continuously through the purchase of their shares. On the other hand, closed-end investment companies close their company to new investors

An advantage of open-end investment companies is they are highly liquid. A disadvantage of open-end investment companies is the company is vulnerable from large inflows and outflow of investments.

An advantage of closed-end investment companies is they do not incur charges with regards to the redemption activities of investors. A disadvantage of closed-end investment companies is that investors cannot withdraw their funds until maturity.

To learn more about open-end investment companies, please check: brainly.com/question/20350725

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4 0

2 years ago

Assume that you purchased a $1,000 perpetual bond (coupon payment is $50) and the interest rate on that bond declined from 5 per

Svetlanka [38]

Answer:

D) all of the above

Explanation:

First find the present value for each alternative using PV of perpetual cashflow formula;

PV = CF / rate

CF = 50

If rate= 5%;

PV = 50/0.05 = $1,000

If rate = 2%;

PV = 50/0.02 = $2,500

With these two calculations, we see that;

-the bond price increased by $1,500

-you could sell this bond at a capital gain, meaning you can sell it a higher price that what you bought it for.

-at an interest rate of 2%, the speculative demand for money would increase

Hence , all these choices are correct!

5 0

3 years ago

An effective minimum wagea. imposes a price ceiling on the wages of various categories of low-skill workers.b. increases the dem

Strike441 [17]

Answer:

d. increases the earnings of some low-skill workers while reducing the employment and training opportunities available to others.

Explanation:

Minimum wage is a form of price floor. It is the lowest amount that should be paid to labour for their services rendered. It is usually set by the government or an agency of government.

Minimum wage causes supply of Labour to exceed demand for Labour. Firms would demand less of Labour because of higher cost of Labour. Decreased demand for Labour would increase unemployment.

Minimum wage isn't a price ceiling but a price floor.

Minimum wage increases the income of Labour.

5 0

3 years ago