Figure 99 Shows the Demand and Supply of a Product in in a Competitive

question 65

Multiple Choice

Figure 9.9 shows the demand and supply of a product in a competitive market.

-Refer to Figure 9.9 to answer the question.Suppose this graph represents a polluting industry and that the government wishes to decrease its output by 10 units.Which of the following will produce this result?

• A)Imposing an excise tax of $2.
• B)Imposing an excise tax of $1.
• C)Granting a subsidy of $2 to producers.
• D)Granting a subsidy of $1 to producers.
• E)Granting a subsidy of $2 to consumers.

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Definitions:

Receiver's Perspective

The viewpoint or understanding of a message from the individual who receives it.

Prewriting Phase

The initial stage of the writing process involving brainstorming, outlining, and organizing ideas before drafting.

Business Message

Communication conveyed through various mediums that pertains to the operations, products, services, or objectives of an organization.

Percentage

A rate or proportion per hundred that represents a fraction of a total.