if you want to remove an article from website contact us from top.

    suppose the state of wyoming passes a law that increases the tax on cigarettes. as a result, smokers who live in wyoming start purchasing their cigarettes in surrounding states. which of the following principles does this best illustrate?

    James

    Guys, does anyone know the answer?

    get suppose the state of wyoming passes a law that increases the tax on cigarettes. as a result, smokers who live in wyoming start purchasing their cigarettes in surrounding states. which of the following principles does this best illustrate? from EN Bilgi.

    Suppose the state of Wyoming passes a law that increases the tax on cigarettes. As a result, smokers who live in Wyoming start purchasing their cigarettes in surrounding states. Which of the following principles does this best illustrate? a) People respon

    Answer to: Suppose the state of Wyoming passes a law that increases the tax on cigarettes. As a result, smokers who live in Wyoming start...

    Motivation

    Suppose the state of Wyoming passes a law that increases the tax on cigarettes. As a result,...

    Suppose the state of Wyoming passes a law that increases the tax on cigarettes. As a result,... Question:

    Suppose the state of Wyoming passes a law that increases the tax on cigarettes. As a result, smokers who live in Wyoming start purchasing their cigarettes in surrounding states. Which of the following principles does this best illustrate?

    a) People respond to incentives,

    b) Rational people think at the margin,

    c) Trade can make everyone better off,

    d) Markets are usually a good way to organize economic activity.

    Demand and Prices:

    The law of demand states that people will buy more of something that costs less, and vice versa. People respond to changes in price, analyze costs vs. benefits, and then perhaps adjust their choices.

    Answer and Explanation:

    Become a Study.com member to unlock this answer! Create your account

    View this answer

    Which of the following principles does this best illustrate? a) People respond to incentives.

    Price is one incentive that will change consumer...

    See full answer below.

    Become a member and unlock all Study Answers

    Start today. Try it now

    Create an account

    Need extra help with this question? Chat with an expert tutor now!

    Learn more

    Search Answers

    Learn more about this topic:

    Economic Incentives: Definition & Examples

    from

    Chapter 1 / Lesson 15

    109K

    Economic incentives are used by companies and governments to encourage a particular behavior in people. Study the definition of economic, extrinsic and intrinsic incentives as well as institutional uses and examples.

    Related to this Question

    Related Answers Related Lessons Related Courses

    Indicate whether the statement is true or...

    According to Maslow, which of the following has...

    Explain how motivation relates to job...

    How does achievement motivation shape human...

    Explore our homework questions and answers library

    Browse by subject

    Source : study.com

    ECON 1030: Chapter 1 Flashcards

    Memorize flashcards and build a practice test to quiz yourself before your exam. Start studying the ECON 1030: Chapter 1 flashcards containing study terms like The "invisible hand" refers to a. the government. b. the free market. c. central planners. d. large businesses, Which of the following is a principle concerning how people interact? a. Markets are usually a good way to organize economic activity. b. Rational people think at the margin. c. People respond to incentives. d. All of the above are correct., The adage, "There is no such thing as a free lunch," means a. even people on welfare have to pay for food. b. the cost of living is always increasing. c. people face tradeoffs. d. all costs are included in the price of a product. and more.

    ECON 1030: Chapter 1

    The "invisible hand" refers to

    a. the government. b. the free market.

    c. central planners.

    d. large businesses

    Click card to see definition 👆

    b. the free market.

    Click again to see term 👆

    Which of the following is a principle concerning how people interact?

    a. Markets are usually a good way to organize economic activity.

    b. Rational people think at the margin.

    c. People respond to incentives.

    d. All of the above are correct.

    Click card to see definition 👆

    a. Markets are usually a good way to organize economic activity

    Click again to see term 👆

    1/16 Created by OhiObOy21

    Terms in this set (16)

    The "invisible hand" refers to

    a. the government. b. the free market.

    c. central planners.

    d. large businesses b. the free market.

    Which of the following is a principle concerning how people interact?

    a. Markets are usually a good way to organize economic activity.

    b. Rational people think at the margin.

    c. People respond to incentives.

    d. All of the above are correct.

    a. Markets are usually a good way to organize economic activity

    The adage, "There is no such thing as a free lunch," means

    a. even people on welfare have to pay for food.

    b. the cost of living is always increasing.

    c. people face tradeoffs.

    d. all costs are included in the price of a product.

    c. people face tradeoffs

    Guns and butter are used to represent the classic societal tradeoff between spending on

    a. durable and nondurable goods.

    b. imports and exports.

    c. national defense and consumer goods.

    d. law enforcement and agriculture.

    c. national defense and consumer goods.

    A tradeoff exists between a clean environment and a higher level of income in that

    a. studies show that individuals with higher levels of income pollute less than low-income individuals.

    b. efforts to reduce pollution typically are not completely successful.

    c. laws that reduce pollution raise costs of production and reduce incomes.

    d. employing individuals to clean up pollution causes increases in employment and income.

    c. laws that reduce pollution raise costs of production and reduce incomes.

    The property of society getting the most it can from its scarce resources is called

    a. efficiency. b. equality. c. externality. d. productivity. a. efficiency.

    As a result of a successful attempt by government to cut the economic pie into more equal slices,

    a. the pie gets larger, and there will be more pie overall.

    b. the pie gets smaller, and there will be less pie overall.

    c. it increases the reward for working hard, resulting in people producing more goods and services.

    d. those who earn more income pay less in taxes.

    c. it increases the reward for working hard, resulting in people producing more goods and services.

    In economics, the cost of something is

    a. the dollar amount of obtaining it.

    b. always measured in units of time given up to get it.

    c. what you give up to get it.

    d. often impossible to quantify, even in principle

    c. what you give up to get it.

    Suppose after graduating from college you get a job working at a bank earning $30,000 per year. After two years of

    working at the bank earning the same salary, you have an opportunity to enroll in a one-year graduate program that would

    require you to quit your job at the bank. Which of the following should not be included in a calculation of your

    opportunity cost?

    a. the cost of tuition and books to attend the graduate program

    b. the $30,000 salary that you could have earned if you retained your job at the bank

    c. the $45,000 salary that you will be able to earn after having completed your graduate program

    d. the value of insurance coverage and other employee benefits you would have received if you retained your job

    at the bank

    c. the $45,000 salary that you will be able to earn after having completed your graduate program

    Consider Paul's decision to go to college. If he goes to college, he will spend $90,000 on tuition, $15,000 on room and

    board, and $7,000 on books. If he does not go to college, he will earn $22,000 working at a construction job and he will

    spend $11,000 on room and board. Paul's cost of going to college is

    a. $96,000. b. $110,000. c. $114,000. d. $123,000. d. $123,000.

    Sign up and see the remaining cards. It’s free!

    Boost your grades with unlimited access to millions of flashcards, games and more.

    Continue with Google

    Continue with Facebook

    Already have an account?

    Recommended textbook explanations

    Principles of Microeconomics

    7th Edition N. Gregory Mankiw 508 explanations

    Principles of Microeconomics

    8th Edition N. Gregory Mankiw 502 explanations

    Essential Foundations of Economics

    7th Edition

    Michael Parkin, Robin Bade

    232 explanations

    Intermediate Microeconomics

    8th Edition Hal R. Varian 124 explanations

    Related questions

    QUESTION

    What are the disadvantages of competition?

    11 answers

    Source : quizlet.com

    The Economic Impact of Smoking and of Reducing Smoking Prevalence: Review of Evidence

    Tobacco smoking is the cause of many preventable diseases and premature deaths in the UK and around the world. It poses enormous health- and non-health-related costs to the affected individuals, employers, and the society at large. The World Health Organization ...

    Tob Use Insights. 2015; 8: 1–35.

    Published online 2015 Jul 14. doi: 10.4137/TUI.S15628

    PMCID: PMC4502793 PMID: 26242225

    The Economic Impact of Smoking and of Reducing Smoking Prevalence: Review of Evidence

    Victor U Ekpu1 and Abraham K Brown2

    Author information Article notes Copyright and License information Disclaimer

    This article has been cited by other articles in PMC.

    Associated Data

    Supplementary Materials

    Go to:

    Abstract

    BACKGROUND

    Tobacco smoking is the cause of many preventable diseases and premature deaths in the UK and around the world. It poses enormous health- and non-health-related costs to the affected individuals, employers, and the society at large. The World Health Organization (WHO) estimates that, globally, smoking causes over US$500 billion in economic damage each year.

    OBJECTIVES

    This paper examines global and UK evidence on the economic impact of smoking prevalence and evaluates the effectiveness and cost effectiveness of smoking cessation measures.

    STUDY SELECTION

    Search methods

    We used two major health care/economic research databases, namely PubMed and the National Institute for Health Research (NIHR) database that contains the British National Health Service (NHS) Economic Evaluation Database; Cochrane Library of systematic reviews in health care and health policy; and other health-care-related bibliographic sources. We also performed hand searching of relevant articles, health reports, and white papers issued by government bodies, international health organizations, and health intervention campaign agencies.

    Selection criteria

    The paper includes cost-effectiveness studies from medical journals, health reports, and white papers published between 1992 and July 2014, but included only eight relevant studies before 1992. Most of the papers reviewed reported outcomes on smoking prevalence, as well as the direct and indirect costs of smoking and the costs and benefits of smoking cessation interventions. We excluded papers that merely described the effectiveness of an intervention without including economic or cost considerations. We also excluded papers that combine smoking cessation with the reduction in the risk of other diseases.

    Data collection and analysis

    The included studies were assessed against criteria indicated in the Cochrane Reviewers Handbook version 5.0.0.

    Outcomes assessed in the review

    Primary outcomes of the selected studies are smoking prevalence, direct and indirect costs of smoking, and the costs and benefits of smoking cessation interventions (eg, “cost per quitter”, “cost per life year saved”, “cost per quality-adjusted life year gained,” “present value” or “net benefits” from smoking cessation, and “cost savings” from personal health care expenditure).

    MAIN RESULTS

    The main findings of this study are as follows:

    The costs of smoking can be classified into direct, indirect, and intangible costs. About 15% of the aggregate health care expenditure in high-income countries can be attributed to smoking. In the US, the proportion of health care expenditure attributable to smoking ranges between 6% and 18% across different states. In the UK, the direct costs of smoking to the NHS have been estimated at between £2.7 billion and £5.2 billion, which is equivalent to around 5% of the total NHS budget each year. The economic burden of smoking estimated in terms of GDP reveals that smoking accounts for approximately 0.7% of China’s GDP and approximately 1% of US GDP. As part of the indirect (non-health-related) costs of smoking, the total productivity losses caused by smoking each year in the US have been estimated at US$151 billion.

    The costs of smoking notwithstanding, it produces some potential economic benefits. The economic activities generated from the production and consumption of tobacco provides economic stimulus. It also produces huge tax revenues for most governments, especially in high-income countries, as well as employment in the tobacco industry. Income from the tobacco industry accounts for up to 7.4% of centrally collected government revenue in China. Smoking also yields cost savings in pension payments from the premature death of smokers.

    Smoking cessation measures could range from pharmacological treatment interventions to policy-based measures, community-based interventions, telecoms, media, and technology (TMT)-based interventions, school-based interventions, and workplace interventions.

    The cost per life year saved from the use of pharmacological treatment interventions ranged between US$128 and US$1,450 and up to US$4,400 per quality-adjusted life years (QALYs) saved. The use of pharmacotherapies such as varenicline, NRT, and Bupropion, when combined with GP counseling or other behavioral treatment interventions (such as proactive telephone counseling and Web-based delivery), is both clinically effective and cost effective to primary health care providers.

    Price-based policy measures such as increase in tobacco taxes are unarguably the most effective means of reducing the consumption of tobacco. A 10% tax-induced cigarette price increase anywhere in the world reduces smoking prevalence by between 4% and 8%. Net public benefits from tobacco tax, however, remain positive only when tax rates are between 42.9% and 91.1%. The cost effectiveness ratio of implementing non-price-based smoking cessation legislations (such as smoking restrictions in work places, public places, bans on tobacco advertisement, and raising the legal age of smokers) range from US$2 to US$112 per life year gained (LYG) while reducing smoking prevalence by up to 30%–82% in the long term (over a 50-year period).

    Source : www.ncbi.nlm.nih.gov

    Do you want to see answer or more ?
    James 11 month ago
    4

    Guys, does anyone know the answer?

    Click For Answer