14. The principle of second best holds that a tax that distorts economic decisions does not necessarily
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14. The principle of second best holds that a tax that distorts economic decisions does not necessarily impose an excess burden. If previously existing distortions or externalities exist, such a tax may actually improve efficiency
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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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