Figure 8-11 -Refer to Figure 8-11.Neither a Shift of the Demand Curve

question 104

Multiple Choice

Figure 8-11
-Refer to Figure 8-11.Neither a shift of the demand curve nor a shift of the supply curve is shown on the figure.However,we know that,when the tax is imposed,

• A)the demand curve will shift.
• B)the supply curve will shift.
• C)either the demand curve or the supply curve will shift.
• D)None of the above are correct;the tax causes neither the demand curve nor the supply curve to shift.

---

Definitions:

Nations

Significant populations sharing a common ancestry, historical background, cultural practices, or language, living together in a specific nation or region.

Subsidies

Financial support provided by the government to individuals or businesses to lower the cost of goods and services or to support industry.

Olive Growers

Individuals or entities involved in the cultivation of olive trees and the production of olives for consumption or the extraction of olive oil.

United States

A federal republic consisting of 50 states, a federal district, five major self-governing territories, and various possessions.