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WorksheetsIntervention Prior Learning Check
Total questions: 14
Worksheet time: 7mins
Ceteris paribus, indirect taxes lead to
a surplus, or
a rightward shift of the supply curve
a leftward shift of the supply curve
a shortage, or excess demand
ceteris paribus, price ceilings lead to
a surplus, or excess supply
a rightward shift of the s
a leftward shift of the supply curve
a shortage, or excess demand
Which of the following statements is true
The imposition of an indirect tax results in a disequilibrium price and quantity
The imposition of an indirect tax results in a lower price for consumers and higher price for producers
the imposition of an indirect tax results in a higher equilibrium price and lower equilibrium quantity
the imposition of an indirect tax results in a loss of government revenue
The objective to increase firms' revenues such as farmers, may be achieved by
subsidies and price ceilings
subsidies and price floors
indirect taxes and price floors
indirect taxes and price ceilings
Indirect taxes may be imposed to
make housing more affordable for poor people
support the wages of low-skilled workers
decrease consumption of harmful goods
increase consumption of goods desirable for society
Price ceilings may be imposed to
make housing more affordable for poor people
support the wages of low-skilled workers
decrease consumption of harmful goods
increase consumption of goods desirable for society
Subsidies may be imposed to
make housing more affordable for poor people
support the wages of low-skilled workers
decrease consumption of harmful goods
increase consumption of goods desirable for society
Price floors may be imposed to
make housing more affordable for poor people
support the wages of low-skilled workers
decrease consumption of harmful goods
increase consumption of goods desirable for society
Identify which of the following statements is false
Subsidies lead to lower prices for consumers and higher prices for producers
Subsidies lead to a burden for the government budget and taxpayers
Subsidies lead to larger quantities produced and consumed
Subsidies lead to higher costs of production and lower revenues for firms
Price floors are a ________, and result in a _______ of the product that is produced.
minimum price / surplus
minimum price / shortage
maximum price / surplus
maximum price /shortage
Price ceilings are a ________, and result in a _______ of the product that is produced.
minimum price / surplus
minimum price / shortage
maximum price / surplus
maximum price /shortage
The minimum wage is a type of ______, and may result in a ______ of labour.
price floor / increased employment
price floor / unemployment
price ceiling / increased employment
price ceiling / unemployment
Ceteris paribus, a subsidy leads to
a gain in surplus only for producers
a gain in surplus only for consumers
a gain in surplus for both producers and consumers
a loss of surplus for both producers and consumers
Identify which of the following statements is false
Indirect taxes are taxes on spending to buy goods and services
Indirect taxes are paid to the government by consumers
Indirect taxes are paid to the government by producers
Indirect taxes give rise to government revenues
