The Graph Shown Demonstrates a Tax on Sellers

question 31

Multiple Choice

The graph shown demonstrates a tax on sellers. Which of the following can be said about the effect of this tax?

• A) The tax creates a shortage, and rationing must occur.
• B) The tax creates a surplus, and the government must buy the excess.
• C) The tax creates a shortage, and the government must regulate the market.
• D) None of these is true.

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Definitions:

Nativist Theory

A perspective in developmental psychology that suggests humans are born with innate knowledge or abilities, particularly in aspects like language acquisition.

Interactionist Perspective

A theoretical viewpoint in sociology and social psychology stressing the importance of mutual and reciprocal influence between individuals and society.

Innate Capacity

Describes abilities or instincts that a person is born with, rather than skills developed through learning or experience.

Infant-Directed Speech

Uses shorter words and sentences, higher and more varied pitch, repetitions, a slower rate, and longer pauses; also known as motherese.