Multiple Choice
Exhibit 19-6
Refer to Exhibit 19-6. Let S1 be the supply curve of a firm. If S2 represents the supply curve of the same firm after the government imposes a per-unit tax, the tax is
A) $1 per unit.
B) $2 per unit.
C) $3 per unit.
D) -$1 per unit, i.e., a subsidy of $1.
Correct Answer:

Verified
Correct Answer:
Verified
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