Economics | Baamboozle - Baamboozle | The Most Fun Classroom Games!

English 20 Public

Its a game about max and min prices, taxes, and subsidies

Study Slideshow

Maximum price should be fixed above the equilibrium. True or False?

False

15

Who does minimum price controls protect?

The sellers

15

A consequence of minimum oprice:

There is more supply than demand, which produces a surplus

15

What is deadweight loss?

It is the inefficient allocation of resources, because suppliers could sell more and buyers are willing to pay more. It is the consequence of a price ceiling

15

What type of people does a subsidy involve?

It involves an individual, a business, or institution, that receives a benefit from the government.

15

What is a subsidy?

It is a financial support to a supplier, occasionally to consumers. It usually involves a tax reduction, a payment, loans or a rebate.

15

What is a production subsidy?

It is a 'loan' Provided in order to encourage the production of a product. In order for manufacturers to increase their production output, the government compen

15

What happens if the government introduces a subsidy on a producer?

A fall in their unit costs will lead to an outward shift of the market supply curve (shifts down), Lower equilibrium price, Increase in the equilibrium quantity

15

The elasticity of demand will affect the likely consequences of the subsidy. True or False?

True

15

What is a tax?

charges imposed by government on people or businesses

15

Difference between direct and indirect taxation?

A direct tax is one that the taxpayer pays directly to the government. An indirect tax is one that can be passed on to another person or group by the owner

15

What is an consumer incidence of tax?

The proportional of total tax revenue paid by costumers (for indirect taxes)

15

What is a producer incidence of tax?

The proportional of total tax revenue paid by producers (for indirect taxes)

15

what is the incidence of taxes?

It is an economic term for understanding the division of a tax burden between stakeholders, such as buyers and sellers or producers and consumers.

15

What happens with the supply and quantity demanded of a market when a tax is imposed to a company?

.

15

What is the difference between the impact and the incidence of a tax?

Impact refers to the initial burden of the tax, while incidence refers to the ultimate burden of the tax.

15