In Great Britain,raising taxes on gasoline has increased the costs of supplying gasoline.As a result,the equilibrium quantity of gasoline ________,and the equilibrium price of gasoline ________.

Question

Quizplus · Accepted Answer

Raising taxes on gasoline increases the costs for suppliers, leading to a decrease in supply. This shift in supply, with demand remaining constant, results in a higher equilibrium price and a lower equilibrium quantity of gasoline.

In Great Britain,raising Taxes on Gasoline Has Increased the Costs