Multiple Choice
With a downward sloping demand curve and an upward sloping supply curve for a product, placing an excise tax on this product will:
A) increase equilibrium price and quantity.
B) decrease equilibrium price and quantity.
C) decrease equilibrium price and increase equilibrium quantity.
D) increase equilibrium price and decrease equilibrium quantity.
Correct Answer:
Verified
Correct Answer:
Verified
Q166: Economists use the term "demand" as:<br>A)a particular
Q167: A price fixed above the equilibrium price
Q168: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB6686/.jpg" alt=" Refer to the
Q169: In recent years, there has been a
Q170: An unusually bountiful crop of coffee beans
Q172: Price ceilings and price floors:<br>A)cause surpluses and
Q173: On a graph, an increase in quantity
Q174: The law of supply is illustrated by
Q175: Immigration to Canada from many parts of
Q176: If an effective legal ceiling is imposed