A Tax Imposed on a Good Can

question 59

Multiple Choice

A tax imposed on a good can:

• A) discourage consumption of the good.
• B) encourage production of the good.
• C) increase the supply of complementary goods.
• D) prevent the market from reaching an efficient equilibrium.

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Definitions:

Anxious

Experiencing worry, unease, or nervousness, typically about an imminent event or something with an uncertain outcome.

Alienated

Feeling isolated and separated from everyone else, which can affect an individual's ability to connect with others.

Schizophrenia

A severe mental disorder characterized by disruptions in thought processes, perceptions, emotional responsiveness, and social interactions.

Low Agreeableness

A personality trait marker indicating a lesser degree of warmth, friendliness, and cooperativeness in social interactions.