The government imposes a $2.50 per-unit tax on the production of good X. As a result the a. quantity supplied of good X falls and the price of good X rises. b. supply curve for good X shifts rightward and the price of good X falls. Oc. c. supply curve for good X shifts leftward and the price of good X rises. Od. d. demand curve for good X shifts leftward and the price of good X falls. e. supply curve for good X shifts leftward and the price of good X falls.

The government imposes a $2.50 per-unit tax on the production of good X. As a result the a. quantity supplied of good X falls and the price of good X rises. b. supply curve for good X shifts rightward and the price of good X falls. Oc. c. supply curve for good X shifts leftward and the price of good X rises. Od. d. demand curve for good X shifts leftward and the price of good X falls. e. supply curve for good X shifts leftward and the price of good X falls.

Brief Principles of Macroeconomics (MindTap Course List)

8th Edition

ISBN:9781337091985

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter4: The Market Forces Of Supply And Demand

Section: Chapter Questions

Problem 6QR

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