Post Utme Bsu 2017 Economics Question 11

Practice objective / multiple choice question 11 from the 2017 Post Utme Bsu Economics examination.

Post Utme Bsu 2017 Economics Objective / Multiple Choice
Question 11 POST_UTME_BSU • 2017 • ECONOMICS • objective

Consider a closed economy with a \single good and service. If the government imposes a tax on the production of this good, which of the following will occur?

Answer Options

A. The tax will increase the price of the good.
Correct Answer B. The tax will decrease the quantity of the good produced.
C. The tax will increase the quantity of the good produced.
D. The tax will have no effect on the price or quantity of the good.
Correct Answer
B
Correct Option:
The tax will decrease the quantity of the good produced.

About This Question

This is Post Utme Bsu 2017 Economics Question 11. It is one of the objective questions from the 2017 Post Utme Bsu Economics examination.

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