Question: Fuzzy dice are produced only by Americans and consumed only by non-Americans. Can an excise tax on fuzzy dice improve the welfare of Americans? If

Fuzzy dice are produced only by Americans and consumed only by non-Americans. Can an excise tax on fuzzy dice improve the welfare of Americans? If so, use a graph to illustrate the optimal size of the excise tax. If not, use a graph to show why any excise tax must create a deadweight loss for Americans.

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