[单选]Which of the following is correct?
A. Rent control and the minimum wage are both examples of price ceilings.
B. Rent control is an example of a price ceiling, and the minimum wage is an example of a price floor.
C. Rent control is an example of a price floor, and the minimum wage is an example of a price ceiling.
D. Rent control and the minimum wage are both examples of price floors.
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[单选]The burden of a luxury tax falls
A. more on the rich than on the middle class.
B. more on the poor than on the rich.
C. more on the middle class than on the rich.
D. equally on the rich, the middle class, and the poor.
[单选]Which of the following statements is true?
A tax levied on buyers will never be partially paid by sellers.
B. Who actually pays a tax depends on the price elasticities of supply and demand.
C. Government can decide who actually pays a tax.
D. A tax levied on sellers always will be passed on completely to buyers.
[单选]The quantity sold in a market will decrease if the government
A. decreases a binding price floor in that market.
B. increases a binding price ceiling in that market.
C. increases a tax on the good sold in that market.
D. More than one of the above is correct.
[单选]Suppose that a tax is placed on books. If the sellers pay the majority of the tax, then we know that the
A. demand is more inelastic than the supply.
B. supply is more inelastic than the demand.
C. government has required that buyers remit the tax payments.
D. government has required that sellers remit the tax payments.
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