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Figure: Tax on Sellers
-(Figure: Tax on Sellers) Refer to the figure. Suppose the imposition of a per-unit tax on sellers shifts the supply curve from S₀ to S₁. With the tax, buyers pay ________ and sellers receive ________.

Question

Use the following to answer questions:
Figure: Tax on Sellers

-(Figure: Tax on Sellers) Refer to the figure. Suppose the imposition of a per-unit tax on sellers shifts the supply curve from S₀ to S₁. With the tax, buyers pay ________ and sellers receive ________.

Quizplus · Accepted Answer

With the tax, the price buyers pay increases to $6, and the price sellers receive after the tax is $3.

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