A tax on gas-powered leaf blowers would cause producers to suffer because

When a good with a perfectly inelastic demand is taxed, the incidence of the tax is borne

Another name for a consumer’s willingness to pay is the

Which of the following is an example of consumer surplus?

If a tax is imposed on a good where both supply and demand are somewhat elastic, but supply is more elastic than em and, the burden of the tax will be borne

When a tax is imposed on a. good, what usually happens to consumer and producer surplus?

The per-unit dollar amount of a tax times the quantity sold after the tax is imported equals

If a tax is imposed on a good where both supply and demand are somewhat elastic, but demand is more elastic than supply, the burden of the tax will be borne

The incidence of tax is determined by

Compared to producers, consumers will lose the greater amount of surplus from a tax if

If a tax is imposed on a good with equally elastic supply and demand, the burden of the tax will be borne

A $15 tax on prescription narcotics is designed to raise money to combat addiction. The tax raises $1.9 billion in revenue but causes a $2.5 billion loss of consumer and producer surplus in the market for prescription narcotics. From this information, we know that the deadweight loss from the tax in the market for prescription narcotics is

Compared to consumers, producers will lose the greater amount of surplus from a tax if

When an excise tax is imposed on a good,

All taxes create some deadweight loss except those on

The equilibrium price in the market for high-quality tennis racquets is $270. In the Oasis Mesa area, there are two racquet sellers, Pete’s Pro Shop and Forty Love’s. Pete’s would be willing to sell a tennis racquet for $240. Forty Love’s would be willing to sell a racquet for $255. On Tuesday, Pete’s sells three racquets and Forty Love’s sells five racquets. What is the total producer surplus for the two sellers on Tuesday?

A tax on buttermilk, which is an input for making buttermilk biscuits, would cause the price paid by consumers for the biscuits to ________ and the price received for the biscuits by producers to ________.

When a good with equally elastic demand and supply is taxed, the incidence of the tax is borne

When a tax is imposed on some good, what tends to happen to consumer prices and producer prices?

Taxes will almost always cause consumer prices to increase. How much they increase depends on

Which of the following statements is concerned with equity rather than efficiency?

A(n) ________ in the elasticity of supply or demand in a market for a good that is taxed would tend to ________ after that tax

Taxing goods with very inelastic demand generates less deadweight loss than taxing goods with very elastic demand because

Taxing a good with very elastic demand generates more deadweight loss than taxing a good with very inelastic demand because

If a tax is imposed on a good with perfectly elastic supply, the burden of the tax will be borne

Two restaurants, El Toro Oro and T. J. Mex, both sell combo dinner meals for two. The market price of one combo meal is $35. El Toro Oro is willing to sell a combo meal for $22; T. J. Mex is willing to sell the same meal for $30. What is the total producer surplus for the two restaurants, assuming each sells 20 combo dinner meals for two?

All taxes create some deadweight loss, unless

The elasticities of supply and demand are important in determining the distribution of tax burden because they

good with ________ supply generates no deadweight loss when taxed

Martha works as a magician and is willing to pay $1,100 for a new trick that sells for $1,050. Enrique also works as a magician and is willing to pay $1,500 for that same trick. What is the total consumer surplus for Martha and Enrique?

A decrease in the elasticity of supply or demand in a market for a good that is taxed would tend to ________ tax revenue from that tax and ________ deadweight loss from that tax.

The net cost to society from the imposition of a tax is also known as

If a tax is imposed on a good with perfectly inelastic supply, the burden of the tax will be borne

Use the following graph to answer the next six questions Based on the graph above, what is the total producer surplus when the market is at its equilibrium, before a tax on sellers shifts the supply curve?

Use the following graph to answer the next six questions. Based on the graph above, what is the total consumer surplus when the market is at its equilibrium, before a tax on sellers shifts the supply curve?

Use the following graph to answer the next six questions. Based on the graph above, what is the total consumer surplus after a tax of $20 per unit is imposed on sellers?

Use the following graph to answer the next six questions. Based on the graph above, what is the total producer surplus after a tax of $20 per unit is imposed on sellers?

Use the following graph to answer the next six questions. Based on the graph above, what is the total deadweight loss when a tax of $20 per unit is imposed on sellers?

Based on the graph above, what is the total tax revenue when a tax of $20 per unit is imposed on sellers?

Which area(s) represent the amount of consumer surplus lost due to the tax?

Which area(s) represent the revenue collected from this tax?

Which area(s) represent the deadweight loss created as a result of the tax?

In the above graph, which combination of areas represents the social welfare?