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-The Figure Above Shows the Market for Digital Cameras

Question 5

Multiple Choice

  -The figure above shows the market for digital cameras. If a tax on digital cameras of $30 per camera is imposed, and at the same time new technology lowers the marginal cost of producing a digital camera by $30 at each level of output, the marginal cost of the last camera produced is ________ and the marginal benefit that consumers receive from it is ________. A)  $300; $300 B)  $270; $300 C)  $290; $320 D)  $290; $290
-The figure above shows the market for digital cameras. If a tax on digital cameras of $30 per camera is imposed, and at the same time new technology lowers the marginal cost of producing a digital camera by $30 at each level of output, the marginal cost of the last camera produced is ________ and the marginal benefit that consumers receive from it is ________.


A) $300; $300
B) $270; $300
C) $290; $320
D) $290; $290

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