Practicing Success

Target Exam

CUET

Subject

Economics

Chapter

Micro Economics: Market Equilibrium

Question:
What will happen to the price of electronics when following events take place simultaneously-
a) Direct tax rates are reduced in the economy.
b) Input used in production of all electronic goods become expensive.
Options:
It will rise
It will fall
It will remain unaffected
None of these
Correct Answer:
It will rise