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Evaluate the following claim: Consumers are better off when the gov- ernment raises revenue via a profit tax on firms rather than the via lump

Evaluate the following claim: "Consumers are better off when the gov- ernment raises revenue via a profit tax on firms rather than the via lump sum tax on consumers, because the firms are paying the tax instead of the consumers."

Use the static general equilibrium model with production to organize your answer. You can discuss which modelling assumptions matter and why as part of your answer

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