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What effect does an increase in excise tax rate have on the supply curve of the product? - Economics

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प्रश्न

What effect does an increase in excise tax rate have on the supply curve of the product?

अति संक्षिप्त उत्तर
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उत्तर

An increase in the excise tax rate raises production costs for producers, which causes the supply curve to shift to the left, indicating a decrease in supply at every price level.

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अध्याय 5: Supply - Law of Supply and Price Elasticity of Supply - TEST YOURSELF QUESTIONS [पृष्ठ ९७]

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फ्रैंक Economics [English] Class 12 ISC
अध्याय 5 Supply - Law of Supply and Price Elasticity of Supply
TEST YOURSELF QUESTIONS | Q 27. | पृष्ठ ९७
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