Economics

There is more supply than demand, which produces a surplus

charges imposed by government on people or businesses

The sellers

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

False

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

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

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

.

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

They tend to distort the market and lead to its disequilibrium. It can either be set above the equilibrium price (ineffective), or below, causing a shortage.

It will create a surplus in the market. Normally the price would fall as a result, but it is not allowed to fall below the min, so the surplus remains

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

True

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

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

A subsidy will shift the supply curve to the right and therefore lower the equilibrium price in a market. The aim of the subsidy is to encourage production of

Who is benefiting from the subsidy proves the incidence [that indicates who, by law, the subsidy is intended to help.]

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

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