Post Utme Covenant University 2021 Economics Question 18

Practice objective / multiple choice question 18 from the 2021 Post Utme Covenant University Economics examination.

Post Utme Covenant University 2021 Economics Objective / Multiple Choice
Question 18 POST_UTME_COVENANT_UNIVERSITY • 2021 • ECONOMICS • objective

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

Answer Options

Correct Answer A. Equilibrium price will increase, equilibrium quantity will decrease
B. Equilibrium price will decrease, equilibrium quantity will increase
C. Equilibrium price will remain the same, equilibrium quantity will decrease
D. Equilibrium price will increase, equilibrium quantity will increase
Correct Answer
A
Correct Option:
Equilibrium price will increase, equilibrium quantity will decrease

About This Question

This is Post Utme Covenant University 2021 Economics Question 18. It is one of the objective questions from the 2021 Post Utme Covenant University Economics examination.

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