Example: Use an essay in an economics question

Updated 28 Aug 2023

To create an essay question:

1. When you open the Create Custom Question wizard, choose to start with an empty template.
2. Select Top/Bottom as the format and click Next.
3. In the Custom Question Builder, enter the following in the problem statement section of the question-and-answer area:

   Why are excise taxes usually placed on goods like tobacco, alcohol, and telephone calls?

4. Put your cursor in the answer area and click Essay Answer under Student Interactions.

   The Edit Essay Answer window opens.

5. Enter the following sample answer in the box provided:

   These are all goods where demand is relatively inelastic. For this reason, excise taxes cause less distortion with respect to output and thus keep inefficiency in the allocation of resources to a minimum. The downside of placing excise taxes on these types of goods is that the burden of the tax falls mainly onto the consumer.

6. Click OK to close the Edit Essay Answer window and return to the Custom Question Builder.
7. Click Save to save your question.