The Figure Above Shows the Demand (D) and Supply (S)

question 219

Multiple Choice

The figure above shows the demand (D) and supply (S) curves for insulin before any tax is imposed. The government imposes a $0.20 a dose tax on sellers of insulin.
-Based on the figure above,at the market equilibrium with the tax,marginal benefit ________ marginal cost,and the quantity of insulin sold is ________.

• A) equals; efficient
• B) exceeds; inefficient
• C) is below; inefficient
• D) is below; efficient
• E) exceeds; efficient

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Definitions:

Speciation

The process through which new genetically distinct species evolve from a single ancestral species.

Geographic Isolation

A situation where a population of species is physically separated from exchanging genetic material with other populations due to geographical barriers, leading to divergent evolution.

Reproductive Isolation

A set of mechanisms that prevent members of different species from producing offspring, or ensure that any offspring are sterile, thereby maintaining species boundaries.

Transgenic Organism

An organism that has been genetically modified to contain DNA from another species, allowing it to express traits not originally found in its genome.