Figure 4-8

Figure 4-8 shows the market for beer. The government plans to impose a per-unit tax in this market.
-Refer to Figure 4-8.For each unit sold, the price sellers receive after the tax (net of tax)is

Question

Figure 4-8
  
Figure 4-8 shows the market for beer. The government plans to impose a per-unit tax in this market.
-Refer to Figure 4-8.For each unit sold, the price sellers receive after the tax (net of tax)is

Quizplus · Accepted Answer

The price sellers receive after the tax (net of tax) is $20. This is because the tax is $2 per unit, and the price before the tax is $22.

Figure 4-8 Figure 4-8 Shows the Market for Beer. the Government Plans