Figure 4-8 Figure 4-8 Shows the Market for Beer

Multiple Choice

Figure 4-8 Figure 4-8 shows the market for beer. The government plans to impose a unit tax in this market.
-Refer to Figure 4-8.As a result of the tax,is there a loss in consumer surplus?

A) Yes, because consumers paying a price above the economically efficient price.
B) No, because the producer pays the tax.
C) No, because the market reaches a new equilibrium
D) No, because consumers are charged a lower price to cover their tax burden.