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If a $50 Subsidy Is Legally (Statutorily) Granted to the Sellers

Question 226

Multiple Choice

If a $50 subsidy is legally (statutorily) granted to the sellers of exercise equipment and as a result the price of exercise equipment to consumers falls by $30, the actual benefit of the subsidy


A) goes completely to buyers of exercise equipment.
B) goes completely to sellers of exercise equipment.
C) is $30 to buyers and $20 to sellers.
D) is $20 to buyers and $30 to sellers.

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