An Increase in the Excise Tax Imposed Upon Consumers of Gasoline

question 11

Multiple Choice

An increase in the excise tax imposed upon consumers of gasoline

• A)increases the demand for gasoline.
• B)decreases the demand for gasoline.
• C)increases the supply of gasoline.
• D)lowers the market price of gasoline.

---

Definitions:

Significance Test

A statistical method used to determine if there is a significant difference between groups or conditions, typically by comparing p-values to predefined significance levels.

Outliers

Observations in a dataset that are significantly different from the other data points, often indicating measurement error, variability in measurement, or a novel discovery.

Alternative Hypothesis

In statistics, the hypothesis that proposes there is a difference between two or more groups or variables, contrasted with the null hypothesis.

Two-sided Test

A statistical test designed to determine if there is a significant difference between a parameter and a specific value, in either direction.