The diagram below shows supply and demand diagrams (S and D) for some product.The government then imposes an excise tax.The new supply curve is ST.
FIGURE 18- 4
-Refer to Figure 18- 4.What is the dollar value of the direct burden of this tax?
A) - $30
B) $180
C) $30
D) $90
E) $450
Correct Answer:
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