Reference: Ref 6-4 (Figure: Tax on Supply and Demand) According to the figure, if the tax is placed on sellers, the equilibrium is at Point:
A) A, and the equilibrium price and quantity are P3 and Q2.
B) A, and the equilibrium price and quantity are P4 and Q3.
C) B, and the equilibrium price and quantity are P3 and Q2.
D) C, and the equilibrium price and quantity are P1 and Q2

Question

Reference: Ref 6-4 (Figure: Tax on Supply and Demand) According to the figure, if the tax is placed on sellers, the equilibrium is at Point:
A) A, and the equilibrium price and quantity are P3 and Q2. 
B) A, and the equilibrium price and quantity are P4 and Q3. 
C) B, and the equilibrium price and quantity are P3 and Q2. 
D) C, and the equilibrium price and quantity are P1 and Q2

Quizplus · Accepted Answer

The Answer of  Reference: Ref 6-4 (Figure: Tax on Supply and Demand) According to the figure, if the tax is placed on sellers, the equilibrium is at Point:
A) A, and the equilibrium price and quantity are P3 and Q2. 
B) A, and the equilibrium price and quantity are P4 and Q3. 
C) B, and the equilibrium price and quantity are P3 and Q2. 
D) C, and the equilibrium price and quantity are P1 and Q2