The term tax incidence refers to a. whether buyers or sellers of a good are required to send tax payments to the government. b. whether the demand curve or the supply curve shifts when the tax is imposed. c. the distribution of the tax burden between buyers and sellers. d. widespread view that taxes (and death) are the only certainties in life. Refer to Figure 6-7. Suppose a price floor of $8 is imposed on this market. As a result, a. buyers' total expenditure on the good decreases by $20. b. the supply curve shifts to the left: quantity sold is now 30 units and the price is $8. c. the quantity of the good demanded decreases by 10 units. d. the price of the good continues to serve as the rationing mechanism. In calculating the CPI, a fixed basket of goods and services is used. The quantities of the goods and services in the fixed basket are determined by a. surveying consumers. b. surveying sellers of the goods and services. c. working backward from the rate of inflation to arrive at imputed values for those quantities. d. arbitrary choices made by federal government employees. In 1931, President Herbert Hoover was paid a salary of $75,000. Government statistics show a consumer price index of 15.2 for 1931 and 229.6 for 2012. President Hoover's 1931 salary was equivalent to a 2012 salary of about a $4, 965. b. $1, 132, 895. c. $1, 057, 894. d. $16, 080,001 All of the following are examples of a nondurable good except a. a pencil. b. one gallon of gasoline. c. a washing machine d. a pair of shoes.