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Business, 11.06.2020 00:57 itsme123427

In the market for widgets, the supply curve is the typical upward-sloping straight line, and the demand curve is the typical downward-sloping straight line. The equilibrium quantity in the market for widgets is 250 per month when there is no tax. Then a tax of $6 per widget is imposed. As a result, the government is able to raise $750 per month in tax revenue. We can conclude that the after-tax quantity of widgets has fallen by a. 25 per month.

b. 50 per month.

c. 75 per month.

d. 100 per month.

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