Answered

Westonci.ca is the Q&A platform that connects you with experts who provide accurate and detailed answers. Get immediate and reliable answers to your questions from a community of experienced professionals on our platform. Our platform offers a seamless experience for finding reliable answers from a network of knowledgeable professionals.

Assume a market for a normal good is currently in equilibrium. If the government increases the taxes that firms must pay, then:

Sagot :

Answer:

The supply will decrease.

Explanation:

The supply will decrease because the application of taxes will make selling costly. Thus, when cost increases then producers supply less. Therefore, less quantity will be supplied in the market when tax is imposed and this will increase the prices of products.

We hope this was helpful. Please come back whenever you need more information or answers to your queries. Thanks for using our platform. We aim to provide accurate and up-to-date answers to all your queries. Come back soon. We're here to help at Westonci.ca. Keep visiting for the best answers to your questions.