Which of the following chain of events occurs when a tariff is imposed on a good?
A) Domestic prices fall, shifting the demand curve rightward, and consumers buy more of the good.
B) Domestic prices fall, decreasing the domestic quantity supplied and increasing the quantity demanded.
C) Domestic prices rise, shifting the domestic supply curve rightward.
D) Domestic prices rise, shifting the demand curve leftward and the domestic supply curve rightward.
E) Domestic prices rise, decreasing the quantity demanded and increasing the domestic quantity supplied.
E
You might also like to view...
If the money multiplier is 3.0, a $1,000 increase in the monetary base
A) increases quantity of money by $3,000. B) decreases the quantity of money by 3 percent. C) increases the monetary base by $300. D) increases the money multiplier by 3 percent. E) decreases quantity of money by $3,000.
Which of the following are not included as a component of national income?
a. Corporate profits b. Compensation of employees c. Net interest income d. Capital gains and capital losses