Let the price of red pencils and blue pencils be prand pb, Business Economics

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Let the price of red pencils and blue pencils be prand pb

Suppose that all consumers view red pencils and blue pencils as not substitutes. Suppose that the supply curve for red pencils is upward sloping. Let the price of red pencils and blue pencils be prand pb. What will happen if the government put a tax only on red pencils?

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Business Economics: Let the price of red pencils and blue pencils be prand pb

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