Across
- 2. The reluctance of a person to accept a bargain with an uncertain payoff rather than another bargain with a more certain, but possibly lower, expected payoff
- 3. a good that is both non-excludable and non-rivalrous in that individuals cannot be effectively excluded from use and where use by one individual does not reduce availability to others
- 4. A phenomenon occurring when expansionary fiscal policy causes interest rates to rise, thereby reducing investment spending
- 6. a condition on the cost-technology of an industry whereby it is most efficient (involving the lowest long-run average cost) for production to be concentrated in a single firm
- 7. A tax that is a fixed amount, no matter the change in circumstance of the taxed entity
- 8. Retrospective (past) cost that have already been incurred and cannot be recovered
- 10. A condition of economic equilibrium which takes into consideration only a part of the market, ceteris paribus, to attain equilibrium.
- 12. The extent to which consumption of taxed good is reduced because of the increased relative price
- 15. The slope of the production–possibility frontier (PPF) at any given point
- 20. The study and implementation of how best to design a tax to minimize distortion and inefficiency subject to increasing set revenues through distortionary taxation in the market.
- 23. Representation of the (infinite) set of possible efficient allocations
- 24. The analysis of the effect of a particular tax on the distribution of economic welfare
- 25. Refers to any tax on non-investment spending, and can be implemented by means of a sales tax, consumer value added tax, or by modifying an income tax to allow for unlimited deductions for investment or savings
- 26. A majority rule voting system will select the outcome most preferred by him
Down
- 1. A branch of theoretical economics which seeks to explain the behavior of supply, demand, and prices in a whole economy with several or many interacting markets, by seeking to prove that a set of prices exists that will result in an overall equilibrium
- 3. The study of government policy through the lens of economic efficiency and equity
- 5. The amount by which consumption of taxed good is reduced because of the worsening of the standard of living
- 9. The cost of any activity measured in terms of the value of the next best alternative forgone (that is not chosen)
- 10. the percentage change in quantity demanded caused by a percent change in price
- 11. A tax imposed so that the effective tax rate increases as the amount to which the rate is applied increases
- 13. Resource allocations that have the property that no one can be made better off without someone else being made worse off
- 14. a loss of economic efficiency that can occur when equilibrium for a good or service is not Pareto optimal
- 16. a situation in which individuals or organizations consume more than their fair share of a resource, or shoulder less than a fair share of the costs of its production
- 17. a real-valued function that ranks conceivable social states (alternative complete descriptions of the society) from lowest to highest
- 18. A financial charge or other levy imposed upon a taxpayer by a state or the functional equivalent of a state such that failure to pay is punishable by law
- 19. a cost or benefit that is not transmitted through prices
- 21. The proportional share of the initial amount owed (initial liability) that must be paid to delay payment for 1 year
- 22. A tax system with a constant marginal rate, usually applied to individual or corporate income