Suppose that the government imposes a new $1 per-unit tax on the (2pts) production of soft drinks. The result would be a(n)in the equilibrium price of soft drinks and a(n) in the equilibrium quantity of soft drinks. a. decrease; increase
b. increase; decrease
c. decrease; decrease
d. increase; increase

Pam is a low-risk careful driver and fran is a high-risk aggressive driver. to reveal their driver types, an auto-insurance company a. refuses to insure high-risk drivers b. charges a higher premium to owners of newer cars than to owners of older cars c. offers policies that enable drivers to reveal their private information d. uses a pooling equilibrium e. requires drivers to categorize themselves as high-risk or low-risk on the application form