question: Which of the following statements is most true?  A) Producers will pay the entire tax.  B) Consumers will pay 1/3 of the tax.  C) Producers will pay 1/3 of the

ENGR.ECONOMIC ANALYSIS
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ISBN:9780190931919
Author:NEWNAN
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Chapter1: Making Economics Decisions
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Use the graph to answer the following question:

Which of the following statements is most true? 

A) Producers will pay the entire tax. 

B) Consumers will pay 1/3 of the tax. 

C) Producers will pay 1/3 of the tax. 

D) Consumers will pay the entire tax. 

 

The graph below represents a $3 per unit tax on sellers.
S1
Price
$12.00
tax
So
R
$9.00
$7.00
$6.00
D
Transcribed Image Text:The graph below represents a $3 per unit tax on sellers. S1 Price $12.00 tax So R $9.00 $7.00 $6.00 D
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