A tax on sellers usually causes buyers to pay more for the good and sellers to receive less for the good than they did before the tax was levied.

Name: A tax on sellers usually causes buyers to pay more for the good and sellers to receive less for the good than they did before the tax was levied.
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Question

Quizplus · Accepted Answer

A tax on sellers shifts the supply curve to the left, leading to a higher equilibrium price for buyers and a lower net price received by sellers, after accounting for the tax.

A Tax on Sellers Usually Causes Buyers to Pay More