Multiple Choice
If the government provides a subsidy to producers,what is the effect of this policy in a supply and demand diagram?
A) The demand curve shifts leftward and the price rises.
B) The supply curve shifts rightward and the price falls.
C) The supply curve shifts leftward and the price falls.
D) The supply curve shifts leftward and the price rises.
E) The demand curve shifts rightward and the price rises.
Correct Answer:

Verified
Correct Answer:
Verified
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