Suppose that the u. s. government decides to charge beer producers a tax. before the tax, 40 billion cases of beer were sold every year at a price of $7 per case. after the tax, 34 billion cases of beer are sold every year; consumers pay $8 per case, and producers receive $4 per case (after paying the tax). the amount of the tax on a case of beer is per case. of this amount, the burden that falls on consumers is per case, and the burden that falls on producers is per case. true or false: the effect of the tax on the quantity sold would have been the same as if the tax has been levied on consumers.
a. true
b. false
Answers: 2
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Suppose that the u. s. government decides to charge beer producers a tax. before the tax, 40 billion...
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