Multiple Choice
Use the following to answer questions:
Figure: Supply Shift 2
-(Figure: Supply Shift 2) Refer to the figure. What would cause the supply curve to shift from S1 to S2?
A) a $20 tax reduction on each unit of output
B) a $40 tax reduction on each unit of output
C) a $40 subsidy reduction on each unit of output
D) a $20 subsidy reduction on each unit of output
Correct Answer:

Verified
Correct Answer:
Verified
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