One Result of a Tax,regardless of Whether the Tax Is

question 190

Multiple Choice

One result of a tax,regardless of whether the tax is placed on the buyers or the sellers,is that the

• A)equilibrium quantity of the good is unchanged.
• B)price the buyer effectively pays is lower.
• C)supply curve for the good shifts upward by the amount of the tax.
• D)tax reduces the welfare of both buyers and sellers.

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