If the government places a tax on sellers in a market, who will pay the tax? -Only buyers. -Buyers and sellers equally. -Only sellers. -More sellers than buyers. -It depends on the situation in the market. Total economic surplus is -the sum of producer and consumer surplus in a market. -all of the above. -maximized at market equilibrium. -a measure that can be used to determine efficiency. -the sum of all the individual economic surpluses gained by buyers and sellers in a market. If a market is not in equilibrium, which of the following is always true? No transaction can be made that will benefit both a buyer and seller. The price is above the equilibrium price. The quantity exchanged is above the equilibrium quantity. The price is below the equilibrium price. The quantity exchanged is below the equilibrium quantity.
Added by Jason S.
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- When a tax is placed on sellers, the actual burden of the tax is shared between buyers and sellers. - The distribution depends on the elasticity of supply and demand. - If demand is more elastic than supply, sellers bear more of the tax burden. - If supply is Show more…
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