Post Utme Futo 2022 Economics Question 27

Practice objective / multiple choice question 27 from the 2022 Post Utme Futo Economics examination.

Post Utme Futo 2022 Economics Objective / Multiple Choice
Question 27 POST_UTME_FUTO • 2022 • ECONOMICS • objective

A government imposes a tax on a product, which shifts the supply curve to the left. If the demand curve is inelastic and the supply curve is elastic, what will happen to the price and quantity of the product?

Answer Options

Correct Answer A. Price increases, quantity decreases
B. Price decreases, quantity increases
C. Price increases, quantity increases
D. Price decreases, quantity decreases
Correct Answer
A
Correct Option:
Price increases, quantity decreases

About This Question

This is Post Utme Futo 2022 Economics Question 27. It is one of the objective questions from the 2022 Post Utme Futo Economics examination.

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