Problem
Assume that a competitive market has an upward-sloping supply curve and a downward-sloping demand curve, both of which are linear. A tax of size $T is currently imposed in the market. Suppose the tax is doubled. By what multiple will the deadweight loss increase? (You may assume that at the new tax, the equilibrium quantity is positive.)
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.