13. The excess burden imposed by a tax is equal to the pretax consumer surplus minus the...

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13. The excess burden imposed by a tax is equal to the pretax consumer surplus minus the after-tax consumer surplus minus the total taxes collected by the government. The more elastic the demand curve, the greater the distortion caused by any given tax rate.

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Principles Of Microeconomics

ISBN: 9780691150093

13th Global Edition

Authors: Karl E. Case, Ray C. Fair, Sharon E. Oster

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