When the size of a tax is doubled, the deadweight loss from the tax ( )
A: increases by the size of the tax.
B: doubles.
C: remains constant.
D: increases by a factor of four.
A: increases by the size of the tax.
B: doubles.
C: remains constant.
D: increases by a factor of four.
举一反三
- [单选]Suppose the government increases the size of a tax by 25 percent. The deadweight loss from that tax A: increases by 25 percent. B: increases by more than 25 percent. C: increases but by less than 25 percent. D: decreases by 25 percent.
- Suppose the government increases the size of a tax by 40 percent. <br/>The deadweight loss from that tax ( ) A: increases<br/>by 40 percent. B: increases<br/>by more than 40 percent. C: increases<br/>but by less than 40 percent. D: decreases<br/>by 40 percent.
- If the tax on a good is doubled, the deadweight loss of the tax
- If the size of a tax increases, tax revenue will increase, and then decrease. ( )
- If<br/>the size of a tax increases, tax revenue will increase. ( )