Supply and Demand

Decreases willingness-to-pay as buyers perceive taxed goods as less desirable.

No direct effect; it reduces quantity sold though increased prices without changing buyer's valuation (willingness-to-pay).

Increases willingness-to-pay since costs are passed onto buyers through higher prices.

Price decreases, quantity increases

Price decreases, quantity decreases

Price increases, quantity decreases

Price increases, quantity increases

The consumer surplus would first decrease, then increase.

There would be no change in consumer surplus.

Consumer surplus would increase.

Consumer surplus would decrease.

They purchase more snacks.

They purchase fewer snacks.

They switch to another brand selling single packs of snacks only.

They complain about overconsumption concerns.

Dividing the quantity demanded by the quantity supplied.

Adding up all the individual consumer surpluses.

Multiplying the quantity demanded by the market price.

Subtracting producer surplus from the market price.

The total amount consumers are willing to pay and what they actually pay.

The quantity supplied and the quantity demanded in a market.

A firm's minimum price and the equilibrium price in the market.

The additional cost firms incur for producing one more unit of a good.

Equilibrium price and quantity will remain unchanged as the market adjusts naturally.

Consumer surplus will increase without any negative effects on producer surplus.

A surplus will occur as producers are willing to supply more than consumers are willing to buy.

A shortage will occur because quantity demanded exceeds quantity supplied at that price.

It increases economic efficiency by perfectly aligning production with social benefits from clean energy.

It has no effect on economic efficiency as it only changes income distribution between taxpayers and producers.

It potentially decreases it if it leads to overproduction relative to what would occur without subsidy in a free market situation.

It decreases economic efficiency solely by increasing government expenditure without changing production incentives.

Producers would immediately expand their production capacity, shifting supply rightward thus decreasing current prices.

The current price of coffee beans would increase due to expected future scarcity driving up today's demand.

Today's consumer surplus would decrease as consumers wait for future prices to fall before making purchases.

The anticipation of increased future prices has no effect on today’s market if all else remains constant.

A shortage of the product will develop.

Consumer surplus will decrease due to higher prices faced by consumers.

Producers will innovate to reduce production costs and maintain profit margins.

The quantity supplied will increase to eliminate the surplus.