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If the Penalty on Sellers of an Illegal Good Is

Question 55

Multiple Choice

If the penalty on sellers of an illegal good is less than the penalty on buyers of an illegal good,then supply of the good will ________ by ________ demand and the price of the good will ________.


A) decrease;more than;rise
B) decrease;less than;rise
C) decrease;less than;fall
D) decrease;more than;fall
E) increase;less than;rise

Correct Answer:

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