uppose a consumer has preferences between two goods that are perfect substitutes. In this case would the consumers be better off or worse off if the tax with rebate based on original consumption were in effect?

uppose a consumer has preferences between two goods that are perfect substitutes. In this case would the consumers be better off or worse off if the tax with rebate based on original consumption were in effect?

Economics For Today

10th Edition

ISBN:9781337613040

Author:Tucker

Publisher:Tucker

Chapter6: Consumer Choice Theory

Section: Chapter Questions

Problem 20SQ

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Suppose a consumer has preferences between two goods that are perfect substitutes. In this case would the consumers be better off or worse off if the tax with rebate based on original consumption were in effect?

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