The Following Questions Refer to the Graph Below

question 56

Multiple Choice

The Following Questions Refer to the graph below.
-Suppose the current tax is T₁ and the government wishes to allow less pollution.It should

• A)Raise the tax above T₁
• B)Lower the tax below T₁
• C)Shift the MPC curve to the left
• D)Shift the MPC curve to the right
• E)Do none of the above

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