Post Utme Bowen University 2024 Economics Question 40

Practice objective / multiple choice question 40 from the 2024 Post Utme Bowen University Economics examination.

Post Utme Bowen University 2024 Economics Objective / Multiple Choice
Question 40 POST_UTME_BOWEN_UNIVERSITY • 2024 • ECONOMICS • objective
Post Utme Bowen University 2024 Economics Question 40 diagram

A government imposes a tax on a good, cau\sing the supply curve to shift to the left. What is the effect on the equilibrium price and quantity?

Answer Options

Correct Answer A. The equilibrium price increases, and the equilibrium quantity decreases.
B. The equilibrium price decreases, and the equilibrium quantity increases.
C. The equilibrium price remains the same, and the equilibrium quantity decreases.
D. The equilibrium price increases, and the equilibrium quantity remains the same.
Correct Answer
A
Correct Option:
The equilibrium price increases, and the equilibrium quantity decreases.

About This Question

This is Post Utme Bowen University 2024 Economics Question 40. It is one of the objective questions from the 2024 Post Utme Bowen University Economics examination.

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