Ch8 - (NGSWKU ¢&SSROIGWOrQ:NK(rVWV rL:G[GWOrQ 1n...

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Unformatted text preview: (NGSWKU ¡ ¢ &SSROIGWOrQ! :NK (rVWV rL :G[GWOrQ 1n this chapter¡ look for the answers to these questions"-RZ JRKV G WG[ GLLKIW IRQVXPKU VXUSrXV¡ SURJXIKU VXUSrXV¡ GQJ WRWGr VXUSrXV$ =NGW OV WNK deadweight loss RL G WG[$ =NGW LGIWRUV JKWKUPOQK WNK VO]K RL WNOV JKGJZKOMNW rRVV$-RZ JRKV WG[ UKYKQXK JKSKQJ RQ WNK VO]K RL WNK WG[$ +PPLI-+TION$ THE -OSTS OF T+X+TION ; > The -ffects of a Tax : ; ) = *T’P ZOWN QR WG[! 5UOIK $ : / 6XGQWOW\ $ ; / : = : ' : / ; / *T’P ZOWN WG[ $ ¡ > SKU XQOW! 8KrrKUV UKIKOYK : = 6XGQWOW\ $ ; > 'X\KUV SG\ : ' 8O]K RL WG[ $ ¡ > +PPLI-+TION$ THE -OSTS OF T+X+TION The -ffects of a Tax : ; ) = 7KYKQXK LURP WG[! ¡ > [ ; > : = : ' : / ; / ; > 8O]K RL WG[ $ ¡ > +PPLI-+TION$ THE -OSTS OF T+X+TION The -ffects of a Tax : ; ) = =OWNRXW G WG[¡ : / ; / ; > & ' ( ) * + (8 $ & ¢ ' ¢ ( 58 $ ) ¢ * ¢ + :G[ UKYKQXK $ £ :RWGr VXUSrXV $ (8 ¢ 58 $ & ¢ ' ¢ ( ¢ ) ¢ * ¢ + +PPLI-+TION$ THE -OSTS OF T+X+TION The -ffects of a Tax : ; ) = : = : ' ; / ; > & ' ( ) * + (8 $ & 58 $ + :G[ UKYKQXK $ ' ¡ ) :RWGr VXUSrXV $ & ¡ ' ¡ ) ¡ + =OWN WNK WG[¢ :NK WG[ UKJXIKV WRWGr VXUSrXV H\ ( ¡ * +PPLI-+TION$ THE -OSTS OF T+X+TION The -ffects of a Tax : ; ) = : = : ' ; / ; > & ' ( ) * + ( ¡ * OV IGRRKJ WNK deadweight loss ¢)=2£ rL WNK WG[¤ WNK LGRR OQ WrWGR VXUSRXV WNGW UKVXRWV LUrP G PGUqKW JOVWrUWOrQ¤ VXIN GV G WG[¥ +PPLI-+TION$ THE -OSTS OF T+X+TION )bout the ,eadweight 4oss : ; ) = : = : ' ; / ; > 'KIGXVK RL WNK WG[¡ WNK XQOWV HKWZKKQ ; > GQJ ; / GUK QRW VRrJ¢ :NK YGrXK RL WNKVK XQOWV WR HX\KUV OV MUKGWKU WNGQ WNK IRVW RL SURJXIOQM WNKP¡ VR WNK WG[ SUKYKQWV VRPK PXWXGrr\ HKQKLOIOGr WUGJKV¢ +PPLI-+TION$ THE -OSTS OF T+X+TION...
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