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    Managerial Economics Study Set 3
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    Exam 11: Performance and Strategy in Competitive Markets
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    A Per Unit Tax Will Cause Output Prices to Increase
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A Per Unit Tax Will Cause Output Prices to Increase

Question 14

Question 14

Multiple Choice

A per unit tax will cause output prices to increase least when:


A) marginal cost is constant.
B) marginal cost is falling.
C) average cost is falling.
D) marginal cost is rising.

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