A permanent negative supply shock causes stock prices to ________ than they would if the supply shock were temporary

It is often argued that government laws and regulations have unintended consequences. Which of the following is an unintended consequence of the 2010 healthcare reform law?

If the government decides to levy an ad valorem tax on product with a perfectly inelastic supply. The consumers tax incidence will be

A) 0 B) 1 C) .5 D) Cannot be determined.