A tax on golf clubs will cause buyers of golf clubs to pay a higher price,and the equilibrium quantity will decrease.

Question

Quizplus · Accepted Answer

A tax on golf clubs is an example of a supply-side tax, which means that the cost of production for golf clubs will increase, causing suppliers to charge a higher price for their products. As a result, consumers will pay a higher price for golf clubs, which will lead to a decrease in demand and the equilibrium quantity.

A Tax on Golf Clubs Will Cause Buyers of Golf