A Tax Imposed on a Good Can

question 59

Multiple Choice

A tax imposed on a good can:

• A) discourage consumption of the good.
• B) encourage production of the good.
• C) increase the supply of complementary goods.
• D) prevent the market from reaching an efficient equilibrium.

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Definitions:

Green

Often associated with the color representing nature, growth, renewal, and environmental sustainability.

Trichromatic Theory

A theory of color vision that suggests our eyes can perceive color because they can detect three different wavelengths of light corresponding to red, green, and blue.

Helmholtz

A German physicist and physician known for his contributions to the understanding of the mechanisms of vision and hearing among other areas.

Color Vision

The ability of organisms to differentiate colors, achieved through the varying sensitivities of photoreceptor cells in the eyes.