Suppose a tax of 10 per unit on a good creates a deadweight


Suppose a tax of $.10 per unit on a good creates a deadweight loss of $100. If the tax is increased to $0.30 per unit, the deadweight loss from the new tax would be:

a. $200.

b. $300.

c. $900.

d. $9,000.

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Business Economics: Suppose a tax of 10 per unit on a good creates a deadweight
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