Ch 07 _1 up_ - THIRDEDITION ECONOMICS and MICROECONOMICS PaulKrugman|RobinWells Chapter7 Taxes WHATYOU WILLLEARN INTHIS CHAPTER demand burdenofatax

Ch 07 _1 up_ - THIRDEDITION ECONOMICS and MICROECONOMICS...

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Taxes Chapter 7 THIRD EDITION ECONOMICS and MICROECONOMICS Paul Krugman | Robin Wells
The Economics of Taxes: A Preliminary View An excise tax is a tax on sales of a good or service. Excise taxes: raise the price paid by buyers reduce the price received by sellers Excise taxes also drive a wedge between the two prices. Examples: The excise tax levied on sales of taxi rides and the excise tax levied on purchases of taxi rides.