NECO Economics 2023 Objective — Question 12
Question 12 of 50 from the National Examinations Council (NECO) Economics 2023 Objective paper, with the correct answer and a full explanation.
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If the government stops subsidy on cocoa production, the supply curve of cocoa will
- A. shift to the right
- B. become vertical
- C. shift to the leftCorrect
- D. remain unchanged
Explanation
Removing a subsidy raises production costs, reducing supply at every price level, which shifts the supply curve to the left.
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