Rank the following taxes according to which has the highest excess burden relative to the direct burden.

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Rank the following taxes according to which has the highest excess burden relative to the direct burden. Start with the highest. Recall that the direct burden of the tax is equal to the revenue that the tax raises.
a. An excise tax on one brand of breakfast cereal
b. An excise tax on all breakfast cereals
c. An excise tax on all food
d. An excise tax on everything (which is basically what the GST is)
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Microeconomics

ISBN: 978-0321866349

14th canadian Edition

Authors: Christopher T.S. Ragan, Richard G Lipsey

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