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प्रश्न
If the government of India levies excise duty on sugar, in which direction will the supply of sugar shift?
उत्तर
If the Government of India levies an excise duty on sugar, the supply of sugar will shift to the left. Excise duty is a tax imposed on a specific good's production or sale. When an excise duty is levied on sugar, it increases the cost of production for sugar producers. As a result of the higher production costs, producers are less willing or able to supply the same quantity of sugar at the existing prices. A leftward shift of the supply curve represents this reduction in supply.
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संबंधित प्रश्न
Increase or decrease in supply means ______.
Match the following and select the correct option.
| Column I | Column II |
| (i) Expansion of supply | (A) Prices are expected to fall in future |
| (ii) Decrease in supply | (B) Fall in prices |
| (iii) Contraction of supply | (C) Prices are expected to rise in future |
| (iv) Increase in supply | (D) Rise in prices |
What do you understand by shifts of the supply curve?
Point out important factors that lead to increase in supply.
With the help of a diagram define decrease in supply.
Discuss four factors which determine decrease in supply phenomenon.
What is meant by shift in supply curve?
What is meant by 'increase' in supply?
With the help of a diagram, define increase in supply.
Explain any two causes of increase in supply of a commodity.
