The loss of total economic surplus is directly experienced by
people in a market for a good that is taxed.
Why does that loss overstate the overall loss in economic surplus
that results from the tax?
可以這樣回答嗎??
A tax reduces conomic surplus because it distorts the basic
cost-benfit criterion that would ordinarily guide efficient
decisions about production and consumption.
--
people in a market for a good that is taxed.
Why does that loss overstate the overall loss in economic surplus
that results from the tax?
可以這樣回答嗎??
A tax reduces conomic surplus because it distorts the basic
cost-benfit criterion that would ordinarily guide efficient
decisions about production and consumption.
--
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