If the unit excise tax cause the market
Concept introduction:
Market supply curve: A curve which gives the positive relationship between a product supplied in the market and its price is called as market supply curve. It is an upward moving curve. There is a positive relationship between the price of the product and its supply. Hence, when the price of the product increases, its supply will also increase.
Excise tax: A tax paid while purchasing a good or a product is called the excise tax. Mostly this tax is included in the cost of the product.
Want to see the full answer?
Check out a sample textbook solutionChapter 6 Solutions
Economics Today: The Macro View Plus Mylab Economics With Pearson Etext -- Access Card Package (18th Edition)
- Principles of Economics (12th Edition)EconomicsISBN:9780134078779Author:Karl E. Case, Ray C. Fair, Sharon E. OsterPublisher:PEARSONEngineering Economy (17th Edition)EconomicsISBN:9780134870069Author:William G. Sullivan, Elin M. Wicks, C. Patrick KoellingPublisher:PEARSON
- Principles of Economics (MindTap Course List)EconomicsISBN:9781305585126Author:N. Gregory MankiwPublisher:Cengage LearningManagerial Economics: A Problem Solving ApproachEconomicsISBN:9781337106665Author:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike ShorPublisher:Cengage LearningManagerial Economics & Business Strategy (Mcgraw-...EconomicsISBN:9781259290619Author:Michael Baye, Jeff PrincePublisher:McGraw-Hill Education