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In an attempt to increase tax revenues, legislators in several states have introduced legislation that would increase state excise taxes.

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In an attempt to increase tax revenues, legislators in several states have introduced legislation that would increase state excise taxes. Examine the impact of such an increase on the equilibrium prices paid and quantities consumed by consumers in markets characterized by
(a) Sweezy oligopoly,
(b) Cournot oligopoly,and
(c) Bertrand oligopoly, and determine which of these market settings is likely to generate the greatest increase in tax revenues.

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Managerial Economics and Business Strategy

Managerial Economics and Business Strategy

ISBN: 978-0071267441

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Authors: Michael R. baye

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Question Posted: November 15, 2011 10:59:04
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