If There Is an Excise Tax Collected by Suppliers of a Particular

question 53

Multiple Choice

If there is an excise tax collected by suppliers of a particular product, when we draw the graph of supply and demand we would normally represent the excise tax by:

• A)a horizontal shift of the supply curve to the left by the amount of the excise tax.
• B)a horizontal shift of the supply curve to the right by the amount of the excise tax.
• C)a vertical shift up of the demand curve by the amount of the excise tax.
• D)a vertical shift up of the supply curve by the amount of the excise tax.

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Definitions:

Frontal Lobe

Part of the cerebral cortex, which performs the brain’s executive functions, such as decision making, and voluntary movement; lies anterior to the central sulcus and beneath the frontal bone of the skull.

Chronic Traumatic Encephalopathy (CTE)

Progressive degenerative disease caused by multiple concussions and other closed-head injuries, characterized by neurofibrillary tangles, plaques, cerebral atrophy, and expanded ventricles due to cell loss.

Neurofibrillary Tangles

Twisted fibers that accumulate inside neurons, often associated with diseases like Alzheimer's, contributing to neuronal death.

Diaschisis

A sudden loss of function in a portion of the brain connected to a distant, but damaged, brain area due to the disruption of neural circuits.