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graph. A tax is imposed in the market for cigarettes that shifts the supply curve from S Subscript 1 to S Subscript 2. What area
graph. A tax is imposed in the market for cigarettes that shifts the supply curve from S Subscript 1 to S Subscript 2. What area corresponds to the revenue collected by the government from the tax? A. an area not shown on this graph B. the light gray area C. the sum of the dark gray and light gray areas D. the dark gray area Part 2 A tax is efficient if it imposes a large excess burden relative to the tax revenue it raises. A. True B. False
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