subject
Business, 14.02.2020 04:25 garciagang0630

According to a report from the Foundation for Taxpayer and Consumer Rights, gasoline costs twice as much in Europe as in the United States because taxes are higher in Europe. However, the amount per gallon net of taxes that U. S. consumers pay is higher than that paid by Europeans (24 per gallon net of taxes). The report concludes that "U. S. motorists are essentially subsidizing European drivers, who pay more for taxes but substantially less into oil company profits". Source:(Tom Doggett, "US Drivers Subsidize European Pump Prices," Reuters, August 31, 2006) Given that oil companies have market power and can price discriminate across countries, is it reasonable to conclude that U. S. consumers are subsidizing Europeans? Arguing that U. S. consumers are subsidizing gasoline for Europeans is a. not reasonable because the two groups are independent of each other. b. not reasonable because the two groups of consumers have no market power. c. reasonable because reselling gasoline has high transaction costs. d. not reasonable because the monopoly cannot distinguish between the two groups. e. reasonable because gasoline between the two groups can be resold.

ansver
Answers: 2

Another question on Business

question
Business, 22.06.2019 09:00
How does the plaintiff, mrs. wood, try to implicate the gun manufacturer ( who testifies, what do they say, what evidence is introduced)?
Answers: 2
question
Business, 22.06.2019 15:00
Portia grant is an employee who is paid monthly. for the month of january of the current year, she earned a total of $8,388. the fica tax for social security is 6.2% of the first $118,500 earned each calendar year and the fica tax rate for medicare is 1.45% of all earnings. the futa tax rate of 0.6% and the suta tax rate of 5.4% are applied to the first $7,000 of an employee's pay. the amount of federal income tax withheld from her earnings was $1,391.77. what is the total amount of taxes withheld from the portia's earnings?
Answers: 2
question
Business, 22.06.2019 19:00
Lucy is catering an important luncheon and wants to make sure her bisque has the perfect consistency. for her bisque to turn out right, it should have the consistency of a. cold heavy cream. b. warm milk. c. foie gras. d. thick oatmeal.
Answers: 3
question
Business, 22.06.2019 20:00
On january 1, year 1, purl corp. purchased as a long-term investment $500,000 face amount of shaw, inc.’s 8% bonds for $456,200. the bonds were purchased to yield 10% interest. the bonds mature on january 1, year 6, and pay interest annually on january 1. purl uses the effective interest method of amortization. what amount (rounded to nearest $100) should purl report on its december 31, year 2, balance sheet for these held-to-maturity bonds?
Answers: 1
You know the right answer?
According to a report from the Foundation for Taxpayer and Consumer Rights, gasoline costs twice as...
Questions
question
Biology, 07.07.2019 11:10