-Refer to the Above Figure

question 143

Multiple Choice

-Refer to the above figure. A unit tax has been placed on the good. The consumer pays what amount of the tax?

• A) none of the tax
• B) P2 - P0
• C) P2 - P1
• D) P1 - P0

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Definitions:

Atmospheric Pressure

The force per unit area exerted against a surface by the weight of air above that surface in the earth's atmosphere.

Boyle's Law

A gas law stating that the pressure of a given mass of an ideal gas is inversely proportional to its volume at a constant temperature.

Charles's Law

A principle in physics that states the volume of a gas increases with increasing temperature, provided the pressure is constant.