Post Utme Esut 2019 Economics Question 1

Practice objective / multiple choice question 1 from the 2019 Post Utme Esut Economics examination.

Post Utme Esut 2019 Economics Objective / Multiple Choice
Question 1 POST_UTME_ESUT • 2019 • ECONOMICS • objective

A government imposes a tax on imports to reduce the trade deficit. If the tax rate is 15% and the price elasticity of demand for the imported good is -2, what is the expected change in the quantity demanded of the good?

Answer Options

A. 10% increase
Correct Answer B. 20% decrease
C. 15% decrease
D. 5% increase
Correct Answer
B
Correct Option:
20% decrease

About This Question

This is Post Utme Esut 2019 Economics Question 1. It is one of the objective questions from the 2019 Post Utme Esut Economics examination.

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