The supply curve for cameras is the typical upward-sloping straight line,and the demand curve for cameras is the typical downward-sloping straight line.When cameras are taxed,the area on the relevant supply-and-demand graph that represents
A) government's tax revenue is a rectangle.
B) the deadweight loss of the tax is a triangle.
C) the loss of consumer surplus caused by the tax is neither a rectangle nor a triangle.
D) All of the above are correct.

Question

Quizplus · Accepted Answer

The government's tax revenue is represented by a rectangle, the deadweight loss by a triangle, and the loss of consumer surplus can be a combination of shapes, making all statements correct.

The Supply Curve for Cameras Is the Typical Upward-Sloping Straight