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    Exam 20: Elasticity
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    Exhibit 20-8 -Refer to Exhibit 20-8.The Market for Good X Is Initially
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Exhibit 20-8 -Refer to Exhibit 20-8.The Market for Good X Is Initially

Question 25

Question 25

Multiple Choice

Exhibit 20-8
Exhibit 20-8    -Refer to Exhibit 20-8.The market for good X is initially at point A.A tax is then placed on the production of good X.It follows that the tax is equal to A)  $1 per unit. B)  $2 per unit. C)  $12 in total. D)  $10 in total. E)  none of the above
-Refer to Exhibit 20-8.The market for good X is initially at point A.A tax is then placed on the production of good X.It follows that the tax is equal to


A) $1 per unit.
B) $2 per unit.
C) $12 in total.
D) $10 in total.
E) none of the above

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