参考分析介绍2009 south-westerncengage chapter 08.pdfVIP

Inthischapter,

Inthischapter,

lookfortheanswerstothesequestions:

lookfortheanswerstothesequestions:

Howdoesataxaffectconsumersurplus,producer

surplus,andtotalsurplus?

Whatisthedeadweightlossofatax?

Whatfactorsdeterminethesizeofthisdeadweight

loss?

Howdoestaxrevenuedependonthesizeofthe

tax?

1

ReviewfromChapter6

Atax



raisesthepricebuyerspayandlowerstheprice

sellersreceive.

reducesthequantityboughtsold.

Theseeffectsarethesamewhetherthetaxis

imposedonbuyersorsellers,sowedonotmake

thisdistinctioninthischapter.

APPLICATION:THECOSTSOFTAXATION2

1

TheEffectsofaTax

P

Eq’mwithnotax:

Price=P

E

Quantity=QE

S

Eq’mwith

P

tax$Tperunit:E

BuyerspayPBD

SellersreceiveP

S

Quantity=QT

Q

QE

APPLICATION:THECOSTSOFTAXATION3

TheEffectsofaTax

Next,weapplywelfareeconomicstomeasure

thegainsandlossesfromatax.

Wedetermineconsumersurplus(CS),

producersurplus(PS),taxrevenue,

andtotalsurpluswithandwithoutthetax.

Taxrevenuecanfundbeneficialservices

(e.g.,education,roads,)

so

APPLICATION:THECOSTSOFTAXATION5

TheEffectsofaTax