When a sales tax is imposed on sellers, the supply curve shifts so that the vertical distance between the old and the new supply curve equals the

Name: When a sales tax is imposed on sellers, the supply curve shifts so that the vertical distance between the old and the new supply curve equals the
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The vertical distance between the old and new supply curve equals the amount of the sales tax because the tax increases the cost of production, shifting the supply curve upwards by the tax amount.

When a Sales Tax Is Imposed on Sellers, the Supply