-The above figure shows the market for gourmet ice cream.In effort to reduce obesity,government places a $2 tax per gallon on suppliers in this market,shifting the supply curve from S? to S?.The quantity of ice cream consumed before the tax is ________ gallons and the quantity consumed after the tax is ________ gallons.

Question

Quizplus · Accepted Answer

The correct answer is C) 250,000; 200,000. This is because the imposition of a tax on suppliers would shift the supply curve to the left, indicating a decrease in the quantity supplied at every price level due to the increased cost of production. This results in a new equilibrium with a lower quantity of ice cream consumed.

-The Above Figure Shows the Market for Gourmet Ice Cream