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Assume that a tax is levied on a good and the government uses the funds to build statues of the premiers of each of the
Assume that a tax is levied on a good and the government uses the funds to build statues of the premiers of each of the provinces and territories. In this case, which of the following would NOT occur?
a decrease in consumer surplus to consumers of the taxed good
a decrease in producer surplus to producers of the taxed good
a decrease in the welfare of society that exceeds the deadweight loss from the tax
a deadweight loss larger than the loss in both consumer and producer surplus
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