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Refer to the Graph Shown

question 93

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Refer to the graph shown. Assume that the market is initially in equilibrium at a price of $6 and a quantity of 40 units. If the government imposes a $2 per-unit tax on this product, producer surplus will fall from: Refer to the graph shown. Assume that the market is initially in equilibrium at a price of $6 and a quantity of 40 units. If the government imposes a $2 per-unit tax on this product, producer surplus will fall from:   A)  80 to 45. B)  160 to 90. C)  90 to 45. D)  160 to 80.


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