Economics 9708 · AS & A Level · Maximum and minimum prices

Maximum and minimum prices — practice question

A per-unit tax is imposed on every bottle of perfume that is sold. On the diagram, SS is the supply curve before the tax, and StSt is the supply curve after the tax. Which region shows the portion of the tax revenue borne by producers?

  • AORWY
  • BPQUT
  • CPRWT
  • DQRWU

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