CCC Increase in Taxes Relationship on Demand & Supply Discussion
Question Description
There are two discussion questions. You will need to answer both questions in order to receive full credit.
Discussion Questions:
- What would be the effect of a 75 percent tax on lawsuit punitive awards that was proposed by then California governor Arnold Schwarzenegger in 2004 on:
- The number of punitive awards. Demonstrate your answer using supply and demand curves. (You will post your graph as jpg. in your discussion post).
- The number of pretrial settlements.
- Airlines and hotels have many frequent-flyer and frequent-visitor programs in which individuals who fly the airline or stay at the hotel receive bonuses that are the equivalent to discounts.
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- Give two reasons why these companies have such programs rather than simply offering lower prices.
- Can you give other examples of such programs?
- What is a likely reason why firms whose employees receive these benefits do not require their employees to give benefits to the firm?
– one paragraph per question should be fine.
– original work only please. no plagiarism.
– must have evidence that support each question. can be taken from a website but must be cited.
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