How do taxes affect the prices paid by buyers and received by sellers compared to subsidies?

• A. Taxes increase both the price paid by buyers and the price received by sellers.
• B. Taxes decrease the price paid by buyers and increase the price received by sellers.
• C. Taxes have no effect on the prices paid by buyers and received by sellers.
• D. Taxes increase the price paid by buyers and decrease the price received by sellers.

Answer: (D)