Q3) A) If the price elasticity of supply is zero, a tax on suppliers will raise...

Q3)
A) If the price elasticity of supply is zero, a tax on suppliers will raise the market price. Is this true or false? Explain your answer.

B) An individual consumes two goods and her preferences satisfy non-satiation. It follows that at least one of the two goods must be a normal good. Is this true or false? Explain your answer.

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Rahul Sunny answered 1 year ago

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Q3) A) If the price elasticity of supply is zero, a tax on suppliers will raise...

Solutions

Expert Solution

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