Refer to the Graph Shown

question 164

Multiple Choice

Refer to the graph shown. Assume that the market is initially in equilibrium at a price of $10 and a quantity of 500 units. If the government imposes a $4 per-unit tax on this product, the equilibrium price will change to:

• A) $4.
• B) $8.
• C) $12.
• D) $14.

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Definitions:

Outsourcing

The practice of hiring external firms or individuals to perform tasks, handle operations or provide services that are either difficult to manage or are outside the company's expertise.

Human Resource Outsourcing

The practice of contracting out human resource functions, such as recruitment and payroll, to an external provider.

Trends

Refers to the general direction in which something is developing or changing over time.