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Assume the equilibrium price and quantity prior to the tax were: Pe = $3and Qe = 450 cups. After the tax, consumers pay $_______ per
Assume the equilibrium price and quantity prior to the tax were: Pe = $3and Qe = 450 cups.
After the tax, consumers pay $_______ per cappucinos and order ________ cappucinos.
After the tax, baristas receive $ ______ per cappucino
The local government receives $ _________ in total revenue from this tax.
Would the price the consumers pay rise by the full $1.50 tax?(Remember that the distance between the two supply curves is equal to the $1.50 tax)
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