-Using the Above Figure, If the Government Levies a New

question 191

Multiple Choice

-Using the above figure, if the government levies a new unit tax in this market, S represents the original supply curve, and S_t represents the after-tax supply curve, then the after-tax price paid by consumers is the vertical distance from the origin to

• A) point A.
• B) point B.
• C) somewhere between point B and point A.
• D) point F.

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