If the government passes a law requiring buyers of college textbooks to send $5 to the government for every textbook they buy, then
a. the demand curve for textbooks shifts downward by $5.
b. buyers of textbooks pay $5 more per textbook than they were paying before the tax.
c. sellers of textbooks are unaffected by the tax.
d. All of the above are correct.
a
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A stock life insurance company is owned and controlled by its
A) partners. B) managers. C) stockholders. D) policyholders.
Suppose managers of an art auction house are going to auction a painting that is believed to be painted by a famous artist. If the managers of the auction are able to provide evidence that the painting was created by the famous artist, the participants in the auction will have ________ confidence in their own valuation of the painting and will submit ________ bids.
A) less; lower B) less; more C) more; lower D) more; higher
The vertical distance between the total variable cost and total cost curves
A. is everywhere equal to total fixed cost. B. increases at a decreasing rate. C. is everywhere equal to zero. D. is everywhere equal to marginal cost.
If the price of good X becomes lower, then the level of consumer surplus becomes
A. unchanged. B. lower in the short-run but higher in the long run. C. lower. D. higher.