If a tax shifts the demand curve downward (or to the left), we can infer that the tax was levied on
A. sellers of the good.
B. We cannot infer anything because the shift described is not consistent with a tax.
C. buyers of the good.
D. both buyers and sellers of the good.
If a tax shifts the demand curve downward (or to the left), we can infer that the tax was levied on
A. sellers of the good.
B. We cannot infer anything because the shift described is not consistent with a tax.
C. buyers of the good.
D. both buyers and sellers of the good.
Related textbook solutions
Related questions
1-
If the government increases the tax on a good then the price paid by buyers will ______________ and the price sellers receive will _________________.
| a. |
increase; increase |
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| b. |
increase; decrease |
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| c. |
decrease; increase |
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d. decrease; decrease ________________________________________________________ 2- It doesn't matter whether a tax is levied on the buyers or sellers of a good because _____________.
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