Figure 8.5 illustrates the market for chocolate bars. If a new tax of $1.50 a chocolate bar is imposed, what is the change in the quantity of chocolate bars bought, who pays most of the tax, and what is the deadweight loss?

Data from in Figure 8.5

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FIGURE 8.5 Chapter Checkpoint Assignable Problem 5 Price (dollars per bar) 5.00 4.50 4.00 3.50 3.00 2.50 2.00 0 3 لا 4 S D 5 6 7 Quantity (millions per year)