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Introducing Taxes and Tax Incidence
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Introducing Taxes and Tax Incidence
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6. Introduction to Taxes and Subsidies / Introducing Taxes and Tax Incidence / Problem 5
Problem 5
If a \$3 tax is imposed on sellers, how will the supply curve shift?
A
The supply curve will shift to the right by \$3.
B
The demand curve will shift to the left by \$3.
C
The supply curve will shift to the left by \$3.
D
The demand curve will shift to the right by \$3.
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