which makes it a good tax. SHORT-ANSWER QUESTIONS 12.1 What are the main determinants of the excess burden of a tax? 12.2 Briefly discuss administrative efficiency as a property of a 'good' tax. 12.3 Use examples to explain what tax flexibility means. ESSAY QUESTIONS 12.1 Explain why a lump-sum tax is used to compare the excess burden of different 12.2 ' A tax on cigarettes is inefficient since it is non-neutral. ' Do you agree? Expl indifference curves 12.3 Assuming that government needs to raise a certain amount of tax revenue from price elasticities of demand. what would your advice be to government if the O P