Problem
The federal government recently decided to raise the excise tax on hard liquor.
a. Graphically illustrate the effects of this tax on the market for hard liquor.
b. Would a $1 increase in the excise tax on liquor increase the equilibrium price of liquor by $1? Explain.
c. How would the excise tax on hard liquor affect a beer distributor?
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.