As a result of a per-unit tax on output in a market:
a. the quantity traded increases
b. the quantity traded does not change.
c. the quantity traded decreases.
d. a surplus is created at the new equilibrium price.
c
Economics
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A firm setting a two-part tariff with only one customer should set the entry fee equal to
A) marginal cost. B) consumer surplus. C) marginal revenue. D) price.
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If the current year CPI is 90, then the price level has decreased 10 percent since the base year
a. True b. False Indicate whether the statement is true or false
Economics