The graph shows the supply and demand curves of high-fructose corn syrup, a sweetener commonly used in the production of sweets and soda due to its low cost. In an effort to curb health issues, Congress puts an excise or commodity tax on corn syrup at $2 per liter. 1. Shade in the region of the graph representing the total tax revenue that this tax will generate 2. Shade in the region of the graph representing the deadweight loss that this tax will generate.
The graph shows the supply and demand curves of high-fructose corn syrup, a sweetener commonly used in the production of sweets and soda due to its low cost. In an effort to curb health issues, Congress puts an excise or commodity tax on corn syrup at $2 per liter. 1. Shade in the region of the graph representing the total tax revenue that this tax will generate 2. Shade in the region of the graph representing the deadweight loss that this tax will generate.
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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
Transcribed Image Text:The graph shows the supply and demand curves of high-fructose corn syrup, a sweetener commonly used in the production
of sweets and soda due to its low cost. In an effort to curb health issues, Congress puts an excise or commodity tax on corn
syrup at $2 per liter.
1. Shade in the region of the graph representing the total tax revenue that this tax will generate
2. Shade in the region of the graph representing the deadweight loss that this tax will generate.

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