Social Sciences Verified Questions and Answers Complete

Exam 2 Questions and Answers
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1. Assume the government imposes a $3 tax on buyers, A.) $5
which results in a shift of the demand curve from D1 to
D2. The price the seller receives for the product after
the tax is imposed on the buyer is
A.) $5
B.) $7
C.) $3
D.) $8

2. Use the following graph for a competitive market to C.) Shortage of 200 units
answer the question below:
A price ceiling of $10 per unit will result in a
A.) Surplus of 200 units
B.) Surplus of 250 units
C.) Shortage of 200 units
D.) Shortage of 250 units

3. Use the following graph for a competitive market to C.) $375
answer the question below.
Assume the government imposes a $2.25 tax on sup-
pliers, which results in a shift of the supply curve from
S1 to S2. How much of the total tax revenue is paid by
the seller?
A.) $750
B.) $300
C.) $375
D.) $675

4. Use the following graph for a competitive market for a A.) 0J
product where the government has set a price ceiling
of 0A to answer the question below.


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, Exam 2 Questions and Answers
Study online at https://quizlet.com/_965791

What quantity will buyers be able to buy after the
imposition of the price ceiling?
A.) 0J
B.) 0L
C.) KL
D.) JL

5. Charlie is willing to pay $10 for a T-shirt that is priced B.) $1
at $9. If Charlie buys the T-shirt, then his consumer
surplus is
A.) $19
B.) $1
C.) $90
D.) $.90

6. Use the figure below to answer the following ques- D.) $38
tion.


By how much does Producer Surplus decrease after
the tax is imposed?
A.) $162
B.) $62
C.) $114
D.) $38

7. Use the figure below to answer the following ques- B.) a + b
tion.


If a price ceiling in this market is set at P1, then con-
sumer surplus equals area
A.) b
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