Answered: 12 11 10 9 8 7 6 5 3+ 2+ 1 Supply…

12 11 10 9 8 7 6 5 3+ 2+ 1 Supply Demand 05 1 15 2 25 3 35 4 45 5 Quantity 5. Refer to Figure 8-2. The imposition of the tax caus a. increase by 1 unit. b. decrease by 1 unit. increase by 2 units.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

12
11+
10
9
166
8
7+
6
5-
st
4
3+
2-
1
Price
A
Supply
Demand
05 1 15 2 25 3 35 4 45 5 Quantity
26. Refer to Figure 8-2. The imposition of the tax causes the quantity sold to
a. increase by 1 unit.
b. decrease by 1 unit.
c. increase by 2 units.
d. decrease by 2 units.
27. Refer to Figure 8-2. The imposition of the tax causes the price received by sellers to
a. decrease by $2.
b. increase by $3.
c. decrease by $4.
d. increase by $5.
28. Refer to Figure 8-2. The per-unit burden of the tax on buyers is
a. $2.
b. $3.
c. $4.
d. $5.
29. Refer to Figure 8-2. The loss of consumer surplus as a result of the tax is
a. $1.50.
b. $3.
c. $4.50.
d. $6.

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