Suppose the government imposes a 25-cent tax on the buyers of incandescent light bulbs. Which of the following is not correct? The tax would
a. shift the demand curve downward by 25 cents.
b. lower the equilibrium price by 25 cents.
c. reduce the equilibrium quantity.
d. discourage market activity.
b
Economics
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The quantity of money demanded decreases at every combination of GDP and interest rate. If the Fed holds to an unchanged money supply target, the interest rate __________ and GDP __________
A) rises; rises B) rises; falls C) falls; rises D) falls; falls
Economics
Growth in employment occurs only because of increases in labor demand due to government hiring
a. True b. False
Economics