If government taxes a firm which pollutes this will:
a. increase the demand for the good produced.
b. decrease the supply of the good produced.
c. increase the equilibrium quantity of the good produced in the market.
d. decrease the equilibrium price of the good produced in the market.
e. all of these.
b
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All else equal, as the price of a product falls, the quantity supplied increases
Indicate whether the statement is true or false
An increase in demand is represented by a
A) shift of the demand curve to the left. B) shift of the demand curve to the right. C) movement down the demand curve. D) movement up the demand curve.
Between 1977 and 2004, the inflation-adjusted prices for an array of goods traded between countries __________ while the inflation-adjusted prices for an array of goods not traded between countries _____________________
A) fell; increased. B) rose; increased as well. C) fell; decreased as well. D) rose; decreased.
A monopolistically competitive industry has
A. a differentiated product and barriers to exit and entry. B. a differentiated product and ease of exit and entry. C. identical products and barriers to exit and entry. D. identical products and ease of exit and entry.