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Imposing a Sales Tax on Sellers of a Product Has

Question 5

Multiple Choice

Imposing a sales tax on sellers of a product has an effect that is similar to which of the following?


A) a decrease in consumers' preferences for the good
B) an increase in the costs of production
C) an increase in demand for the good
D) a decrease in people's willingness to work
E) anything that decreases the demand and shifts the demand curve leftward

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