The federal government is considering providing a per-student subsidy to private schools in the country. What is the anticipated effect of the subsidy on the supply of private education?

Question

(1 point)

• The demand for private education will increase.
O At any given price, the quantity supplied of private education will decrease O At any given price, the quantity supplied of private education will increase
• The supply of private education will decrease.

Answer 1

• The supply of private education will increase.