Suppose the demand curve for compact cars is perfectly horizontal. How will an excise tax on compact

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Suppose the demand curve for compact cars is perfectly horizontal. How will an excise tax on compact cars affect demanders?

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Price Theory and Applications

ISBN: 978-1285423524

9th edition

Authors: Steven Landsburg

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Question Posted: Oct 25, 2016 10:46 AM

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Suppose the demand curve for compact cars is perfectly horizontal. How will an excise tax on compact

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The excise tax shifts the supply curve which ...View the full answer

Price Theory and Applications

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