asked 6.7k views
11 votes
When taxes are imposed on a commodity:_________

a. there is never a deadweight loss.
b. some consumers alter their consumption by not purchasing the taxed commodity.
c. tax revenue will rise by the amount of the tax multiplied by the before-tax level of consumption.
d. the taxes do not distort incentives

2 Answers

11 votes
B. Some consumers their consumption by not purchasing the taxed commodity. Hope it helps
answered
User Reza Jafari
by
8.5k points
10 votes
B.
Some consumers alter their consumption of the commodity

Good luck!
answered
User Geekswordsman
by
8.6k points
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