--%>

Backward shifting of incidence tax

When firms bear the legal incidence of a tax, this is backward shifted while: (1) firms burden consumers by raising their prices. (2) the tax burden is borne by workers in the form of lower wages. (3) resource suppliers seek higher factor payments to pay the tax. (4) tax revenue generated exceeds expectations. (5) voters reelect the politicians who imposed the tax.

Hey friends please give your opinion for the problem of Economics that is given above.

   Related Questions in Macroeconomics

  • Q : If households If households become more

    If households become more willing to hold less cash and more stocks or bonds, the

  • Q : Closed economy Hello. I need help with

    Hello. I need help with my assignment, I was sick and lost alot of time.My submission deadline is tomorrow i need your help i have attached the questions Thanks in advance

  • Q : What points out revenue deficit What

    What points out revenue deficit? Answer: Revenue deficits are stated as the surplus of revenue receipts. Revenue Deficit = Revenue Expenditure - Revenue Recei

  • Q : Market price decrement according to

    When heroin were legalized, in that case the: (w) market price of heroin would drop considerably. (x) demand would raise although supply would decrease. (y) demand would decrease but supply would increase. (z) price of cocaine would raise.

    Q : Fiscal and Monetary policies How can

    How can governments seek to control their national economies through fiscal and monetary policies?

  • Q : Market Economy Explain the statement "

    Explain the statement "Hypothes is the basic short run and long run behaviors of the airline industry in a market economy".

  • Q : Consumption curve Illustrate a point on

    Illustrate a point on consumption curve at which APC = 1. Answer: APC = C/Y = 1 is possible when C = Y, that is, Consumption is

  • Q : Functions of central bank Describe

    Describe functions of central bank? Answer: (A) Issue of currency: Central bank is the only authority for the issue of currency

  • Q : What is Equilibrium What do you mean by

    What do you mean by the term Equilibrium? Also state its proper definition.

  • Q : Explain the term Macroeconomics

    Macroeconomics is a study of: (1) the economy as an entire or in the aggregate. (2) worldwide economic problems of individual households. (3) interactions among firms and households in one exact market or industry. (4) the rising income inequality wit