Answers typed in all of the blanks will be automatically saved. Suppose a local government imposes...

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Answers typed in all of the blanks will be automatically saved. Suppose a local government imposes a tax on sales of firewood. Before the tax, 20,000 bundles were sold at an average price of $6 per bundle. With the tax in effect, 16,000 bundles are sold, buyers pay $6.40 per pack, and sellers receive $5.50 per pack. In this scenario, the tax is $ per pack, the tax incidence that falls on buyers is $ Type your answer here Type your answer here Type your answer here per pack, and the tax incidence that falls on sellers is $ Question 5 per pack. Q In the previous question, assuming that no externalities are generated by production or consumption of firewood, the deadweight loss caused by the tax is $. Typed numeric answer will be automatically saved. Answers typed in all of the blanks will be automatically saved. Suppose a local government imposes a tax on sales of firewood. Before the tax, 20,000 bundles were sold at an average price of $6 per bundle. With the tax in effect, 16,000 bundles are sold, buyers pay $6.40 per pack, and sellers receive $5.50 per pack. In this scenario, the tax is $ per pack, the tax incidence that falls on buyers is $ Type your answer here Type your answer here Type your answer here per pack, and the tax incidence that falls on sellers is $ Question 5 per pack. Q In the previous question, assuming that no externalities are generated by production or consumption of firewood, the deadweight loss caused by the tax is $. Typed numeric answer will be automatically saved.

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The detailed answer for the above question is provided below To determine the tax incidence and the ... View the full answer