Suppose that sellers require $6.70 per unit to sell 800 units. If a $2 tax per unit is placed on sellers, the sellers will require _______ per unit to sell 800 units, causing the supply curve ________.
A) $8.70; to shift up by $2.00
B) $8.70; to shift down by $2.00
C) $4.70; to shift up by $2.00
D) $4.70; to shift down by $2.00
Correct Answer:
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