Question 1 W The number of seats in a cinema is 350. The government decided to levy a tax of $5 per ticket. As a result, the cinema owner increases the ticket price from $15 to $20 and still sells all 350 tickets. This tax on cinemas led to a change in consumer surplus of _, a change in producer surplus of , and a deadweight loss of Selected answer will be automatically saved. For keyboard navigation, press up/down arrow keys to select an answer. a -$5; $0; $5 b -$1,750; $0; $1750 C -$5; $0; $0 d -$1750; $0; $0Question 2 If a tax of 2 cents per apple is raised to 3 cents, what happens to the deadweight loss from this tax? Selected answer will be automatically saved. For keyboard navigation, press up/down arrow keys to select an answer. a It rises by less than 50% b It rises by more than 50% C It rises by exactly 50% d It depends which is more elastic: demand or supply.:3 Question 3 If a tax of 10 cents per orange is increased to 15 cents, what happens to the government's tax revenue? Selected answer will be automatically saved. For keyboard navigation, press up/down arrow keys to select an answer. a It rises by less than 50% b It rises by more than 50% It rises by exactly 50% d It depends on which is more elastic: demand or supply.Question 4 Suppose that the government is considering imposing a tax on a market: in Market A the tax would have a significant effect on the price buyers pay, but it would not affect the quantity sold significantly; in Market B, the same size of tax would have an insignificant effect on the price buyers pay, but it would have a significant effect on the quantity sold. Which market would have the biggest deadweight loss from the tax? Selected answer will be automatically saved. For keyboard navigation, press up/down arrow keys to select an answer. a Market A b Market B C It will be the same in Market A and Market B d We need to know the quantities and prices in these markets to answer this question.Question 5 Tax revenue is likely to rise due to a higher tax rate if the elasticity of demand is and the elasticity of supply is Selected answer will be automatically saved. For keyboard navigation, press up/down arrow keys to select an answer. a 0.2; 0.7 b 2.7; 0.8 C 0.4; 4.2 d 1.9; 3.7