If the government makes a good illegal and then imposes stiffer penalties on illegal drug buyers than on sellers, the price of the good ________ and the quantity ________.
A) falls; increases
B) rises; decreases
C) falls; decreases
D) does not change; decreases
Correct Answer:
Verified
Q280: Q281: Compared to the situation in which a Q282: If the same fine is imposed on Q283: When a good is made illegal, which Q284: If penalties are imposed only on buyers Q286: When a government fines and/or imprisons convicted Q287: In general, a fine on smoking cigarettes Q288: Suppose penalties are imposed on both buyers Q289: Making the buying and selling of a Q290: If penalties are imposed on both the![]()
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents