Sellers of artificially sweetened beverages

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Reference no: EM13736600

Suppose the government imposes a 20-cent tax on the sellers of artificially sweetened beverages. The tax would shift

a) demand, raising both equilibrium price and quantity in the market for artificially sweetened beverages.

b) demand, lowering the equilibrium price and raising equilibrium quantity in the market for artificially sweetened beverages

c) supply, raising the equilibrium price and lowering the equilibrium quantity in the market for artificially sweetened beverages.

d) supply, lowering the equilibrium price and raising the equilibrium quantity in the market for artificially sweetened beverages.

Reference no: EM13736600

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