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Figure 8-24

Question 42

Multiple Choice

Figure 8-24.The figure represents the relationship between the size of a tax and the tax revenue raised by that tax. Figure 8-24.The figure represents the relationship between the size of a tax and the tax revenue raised by that tax. -Refer to Figure 8-24.For an economy that is currently at point D on the curve,a decrease in the tax rate would A) decrease consumer surplus. B) decrease producer surplus. C) increase tax revenue. D) increase the deadweight loss of the tax.
-Refer to Figure 8-24.For an economy that is currently at point D on the curve,a decrease in the tax rate would


A) decrease consumer surplus.
B) decrease producer surplus.
C) increase tax revenue.
D) increase the deadweight loss of the tax.

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