Tobacco production is one of the more heavily subsidized industries in the united states. suppose that as a result of intense lobbying from health-related concerns, congress repeals the tobacco firms subsidies. which of the following scenarios would likely occur?
a. the tobacco firms supply curve would shift leftward, since it would now cost more to produce each level of output.
b. there would be a movement along the supply curve for tobacco, but the supply curve would not shift.
c. the tobacco firms supply curve would shift rightward, as it would now be cheaper to produce each level of output.
d. the tobacco firms would not experience any shift in their supply curves; subsidies dont affect output.