If a Tax Shifts the Supply Curve Downward

question 60

Multiple Choice

If a tax shifts the supply curve downward,

• A)we cannot infer anything because the shift described is not consistent with a tax.
• B)we can infer that the tax was levied on sellers of the good.
• C)we can infer that the tax was levied on both buyers and sellers of the good.
• D)we can infer that the tax was levied on buyers of the good.

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Definitions:

Palpate

To examine a part of the body by touch, especially for medical purposes to detect any abnormalities.

Deep Palpation

A technique in physical examination to press deeply into the body to feel the organs or tissues.

Fingertips

The extreme ends or tips of the fingers, sensitive to touch and important for fine motor skills.