Post Utme Unilag 2025 Economics Question 13

Practice objective / multiple choice question 13 from the 2025 Post Utme Unilag Economics examination.

Post Utme Unilag 2025 Economics Objective / Multiple Choice
Question 13 POST_UTME_UNILAG • 2025 • ECONOMICS • objective

A government imposes a tax of ₦10 per unit on a firm that produces a good with a price elasticity of demand of 0.5. What is the effect of the tax on the firm's supply curve?

Answer Options

A. The supply curve shifts to the left.
Correct Answer B. The supply curve shifts to the right.
C. The supply curve remains unchanged.
D. The supply curve becomes perfectly elastic.
Correct Answer
B
Correct Option:
The supply curve shifts to the right.

About This Question

This is Post Utme Unilag 2025 Economics Question 13. It is one of the objective questions from the 2025 Post Utme Unilag Economics examination.

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