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Please help me tutors!! Homework (Ch 08) 4. The Laffer curve Government-imposed taxes cause reductions in the activity that is being taxed, which has important
Please help me tutors!!
Homework (Ch 08) 4. The Laffer curve Government-imposed taxes cause reductions in the activity that is being taxed, which has important implications for revenue collections. To understand the effect of such a tax, consider the monthly market for beer, which is shown on the following graph. Use the graph input tool to help you answer the following questions. You will not be graded on any changes you make to this graph. Note: Once you enter a value in a white field, the graph and any corresponding amounts in each grey field will change accordingly. Graph Input Tool (? 50 Market for Beer Supply Quantity 24 (Cases) Demand Price 30.00 Supply Price 20.00 (Dollars per case) (Dollars per case) Tax 10.00 (Dollars per case) PRICE (Dollars per case) Demand O 6 12 18 24 30 36 42 48 54 60 QUANTITY (Cases) HOLLOW - CO V FWcf51 MGmail YouTube Maps G News Translate Capstone Project: (.. CENGAGE | MINDTAP Homework (Ch 08) Suppose the government imposes a $10-per-case tax on suppliers. At this tax amount, the equilibrium quantity of beer is cases, and the government collects $ in tax revenue. Now calculate the government's tax revenue if it sets a tax of $0, $10, $20, $25, $30, $40, or $50 per case. (Hint: To find the equilibrium quantity after the tax, adjust the "Quantity" field until the Tax equals the value of the per-unit tax.) Using the data you generate, plot a Laffer curve by using the green points (triangle symbol) to plot total tax revenue at each of those tax levels. Note: Plot your points in the order in which you would like them connected. Line segments will connect the points automatically. (?) 600 A 540 Laffer Curve 480 420 360 300 TAX REVENUE (Dollars) 240 180 120 60Translate Capstone Project: (... CENGAGE | MINDTAP Homework (Ch 08) (?) 600 540 Laffer Curve 480 420 360 300 TAX REVENUE (Dollars) 240 180 120 60 10 15 20 25 30 35 40 45 50 TAX (Dollars per case) Suppose the government is currently imposing a $15-per-case tax on beer. True or False: The government can raise its tax revenue by decreasing the per-unit tax on beer. OLOV LOU - CO V G Gf51 M Gmail YouTube Maps G= News Translate Capstone Project: (... CENGAGE | MINDTAP Homework (Ch 08) Suppose the government is currently imposing a $15-per-case tax on beer. True or False: The government can raise its tax revenue by decreasing the per-unit tax on beer. True O False Consider the deadweight loss generated in each of the following cases: no tax, a tax of $20 per case, and a tax of $40 per case. On the following graph, use the black curve (plus symbols) to illustrate the deadweight loss in these cases. (Hint: Remember that the area of a triangle is equal to 5 x Base x Height. In the case of a deadweight loss triangle found on the graph input tool, the base is the amount of the tax and the height is the reduction in quantity caused by the tax.) (? 600 540 Deadweight Loss 480 420 360 EIGHT LOSS (Dollars) 300 240 OLDLOU - CO V T GCENGAGE |MINDTAP Homework (Ch 08) 600 540 480 Deadweight Loss 420 360 DEADWEIGHT LOSS (Dollars) 300 240 180 120 60 0 5 10 15 20 25 30 35 0 45 50 TAX (Dollars per case) As the tax per case increases, deadweight loss Grade It Now Save & Continue Continue without saving HOLOLOU-COV WStep by Step Solution
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