Figure 18-2 Figure 18-2 Shows the Widget Market Before and After an and After

question 47

Multiple Choice

Figure 18-2

Figure 18-2 shows the widget market before and after an excise tax is imposed. After the tax is imposed, the amount that a firm keeps for itself from the sale of each widget is ____.

• A)$95
• B)$100
• C)$120
• D)$125