When a tax is levied on the sellers of a good, the
a. supply curve shifts upward by the amount of the tax.
b. quantity demanded decreases for all conceivable prices of the good.
c. quantity supplied increases for all conceivable prices of the good.
d. None of the above is correct.
a
You might also like to view...
If a price ceiling is imposed, then:
a. the market supply curve will shift to the right. b. the market demand will shift to the left. c. a shortage of product will result. d. the government would be required to buy-up the surplus product. e. the market equilibrium price is below the level the government wishes to achieve.
A profit-maximizing firm in a competitive market will earn zero accounting profits in the long run
a. True b. False Indicate whether the statement is true or false
The absolute value of the? short-run elasticity of demand for bread has been estimated to be 0.15. Its? long-run elasticity of demand is
A. 0.15. B. uncertain without more information. C. more than 0.15. D. less than 0.15.
Other things held constant, the greater the price of a goodÂ
A. the greater the consumer surplus. B. the lower the quantity demanded. C. the lower the consumer surplus. D. the higher the quantity demanded.