The tax-induced difference between the price paid by consumers and the price received by producers is

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The tax-induced difference between the price paid by consumers and the price received by producers is commonly known as the "tax wedge". This refers to the difference between the demand curve (which shows the price consumers are willing to pay) and the supply curve (which shows the minimum price producers are willing to accept), with the wedge representing the amount of the tax.

The Tax-Induced Difference Between the Price Paid by Consumers and the Price