-In the Above Figure, If a Medicare Subsidy That Had

question 276

Multiple Choice

-In the above figure, if a Medicare subsidy that had previously been paid by the government has now been eliminated, the result will be

• A)an increase in the price received by producers, from P₀ to Ps.
• B)a decrease in the price received by producers, from Ps to P₀.
• C)an increase in the price paid by consumers, from P₀ to Ps.
• D)a decrease in the price paid by consumers, from Ps to P₀.