Suppose That a Tariff Is Imposed on Imported Cheese

question 31

Multiple Choice

Suppose that a tariff is imposed on imported cheese.This will have the effect of __________ the price of cheese,__________ consumers' surplus,and __________ producers' surplus.

• A) increasing; increasing; increasing
• B) decreasing; decreasing; decreasing
• C) increasing; increasing; decreasing
• D) increasing; decreasing; increasing
• E) decreasing; decreasing; increasing

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Definitions:

Probability Density Function

A function that describes the relative likelihood for a continuous random variable to occur at a given point in the observation space.

Continuous Random Variable

A type of random variable that can take an infinite number of values within a given range, often measured to any degree of precision.

Weekly Income

The amount of money someone earns in one week from all sources of employment or investments.

Probability Density Functions

Functions that describe the likelihood of a continuous random variable falling within a particular range of values.