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The Graph Shown Depicts a Tax Being Imposed, Causing Demand

Question 13

Multiple Choice

The graph shown depicts a tax being imposed, causing demand to shift from D1 to D2. The graph shown depicts a tax being imposed, causing demand to shift from D1 to D2.   What change does this tax cause? A) Positive government revenue and decreased consumption B) Zero government revenue and decreased consumption C) A transfer of revenue to surplus and increased consumption D) Positive government revenue and increased consumption What change does this tax cause?


A) Positive government revenue and decreased consumption
B) Zero government revenue and decreased consumption
C) A transfer of revenue to surplus and increased consumption
D) Positive government revenue and increased consumption

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