Suppose there is currently a tax of $50 per ticket on airline tickets.Buyers of airline tickets are required to pay the tax to the government.If the tax is reduced from $50 per ticket to $20 per ticket,then the
A) demand curve will shift upward by $30,and the price paid by buyers will decrease by less than $30.
B) demand curve will shift upward by $30,and the price paid by buyers will decrease by $30.
C) supply curve will shift downward by $30,and the effective price received by sellers will increase by less than $30.
D) supply curve will shift downward by $30,and the effective price received by sellers will increase by $30.
Correct Answer:
Verified
Q41: A tax on buyers will shift the
A)demand
Q42: If the government removes a $2 tax
Q44: If the government passes a law requiring
Q45: If the government wants to reduce smoking,it
Q47: If the government removes a $1 tax
Q48: A $5 tax levied on the buyers
Q49: When a tax is placed on the
Q50: A tax on the buyers of personal
Q51: A $1.50 tax levied on the buyers
Q299: Which of the following is not correct?
A)Taxes
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