A new government subsidy paid to the producers of butter would

Name: A new government subsidy paid to the producers of butter would
Brand: Quizplus
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Question

Quizplus · Accepted Answer

The new government subsidy will lower the cost of production for the producers of butter, enabling them to supply more butter at each price level. This will shift the supply curve to the right, increasing the quantity supplied and lowering the market equilibrium price. Therefore, the correct option is D.

A New Government Subsidy Paid to the Producers of Butter