Suppose that the U.S. government decides to charge beer consumers a tax. Before the tax, 35 billion cases of beer were sold every year at a price of $6 per case. After the tax, 28 billion cases of beer are sold every year; consumers pay $7 per case (including the tax), and producers receive $4 per case. The amount of the tax on a case of beer is $ _________ per case. Of this amount, the burden that falls on consumers is $_________ per case, and the burden that falls on producers is $___________per case. True or False: The effect of the tax on the quantity sold would have been the same as if the tax had been levied on producers. True   False

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A:

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