Post Utme Oau 2025 Economics Question 22

Practice objective / multiple choice question 22 from the 2025 Post Utme Oau Economics examination.

Post Utme Oau 2025 Economics Objective / Multiple Choice

Question 22 POST_UTME_OAU • 2025 • ECONOMICS • objective

A government imposes a tax on a firm's output. The firm's supply curve shifts to the left, but the demand curve remains unchanged. What is the effect on the equilibrium price and quantity?

Correct Answer A. Price increases, quantity decreases

B. Price decreases, quantity increases

C. Price increases, quantity increases

D. Price decreases, quantity decreases

Correct Answer

Correct Option:

Price increases, quantity decreases

This is Post Utme Oau 2025 Economics Question 22. It is one of the objective questions from the 2025 Post Utme Oau Economics examination.

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