what-is-the-impact-of-high-tax-rates-on-the-quantity-exchanged-in-a-market

Question

What is the impact of high tax rates on the quantity exchanged in a market?

Accepted Answer

High tax rates decrease the quantity exchanged.

Answer

High tax rates increase the quantity exchanged.

Answer

High tax rates stabilize the quantity exchanged.

Answer

High tax rates have no impact on the quantity exchanged.