When tires are taxed and sellers of tires are required to pay the tax to the government,
A) the quantity of tires bought and sold in the market is reduced.
B) the price paid by buyers of tires decreases.
C) the demand for tires decreases.
D) there is a movement downward and to the right along the demand curve for tires.
Ans: A) the quantity of tires bought and sold in the market is reduced.
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