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[solved] You are the adviser to Governor Christie. Propose a consumer


You are the adviser to Governor Christie. Propose a consumer good that he could tax (or continue to tax) in order to bring more tax revenue into the state. Defend your proposal using the concept of Ed and the TR test.



3.) ?Provide one example of a highly inelastic product and one example of a highly elastic problem. Do not use the ones already provided in the book or lecture notes. Defend your answers with rationale.



4.) ?You are a consultant to a small business who is in need of increasing revenue. He is trying to decide whether or not to raise or lower prices. Given your knowledge of Ed, how would you advise the client?


5.?Define elasticity. (What do you mean by elastic and inelastic demand? Can you name products which have elastic demand? Inelastic demand?)

 


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