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How monopoly lump-sum profits tax and a monopoly sales tax differ in their effects on the monopolist? A. A profit tax causes the price to
How monopoly lump-sum profits tax and a monopoly sales tax differ in their effects on the monopolist?
A. A profit tax causes the price to rise, whereas the sales tax has no effect on the price.
B. A profit tax causes the output to fall, whereas the sales tax has no effect on the output.
C. A profit tax is totally paid by the monopolist, whereas a sales tax is partially passed on to consumers.
D. A sales tax has no effect on neither the price nor the output.
E. A sales tax has no effect on the monopolist's profit but a profit tax does.
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