Which of the following best describes the economic concept of "deadweight loss"? Select one: a. The decrease in total surplus resulting from the removal of excise tax. b. The decrease in total surplus resulting from the "distortion" to the market from a tax. c. The increase in total surplus resulting from the removal of excise tax. d. The increase in total surplus resulting from the "distortion" to the market from a tax.
Which of the following best describes the economic concept of "deadweight loss"? Select one: a. The decrease in total surplus resulting from the removal of excise tax. b. The decrease in total surplus resulting from the "distortion" to the market from a tax. c. The increase in total surplus resulting from the removal of excise tax. d. The increase in total surplus resulting from the "distortion" to the market from a tax.
Chapter4: Prices: Free, Controlled, And Relative
Section: Chapter Questions
Problem 4WNG
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Transcribed Image Text:Which of the following best describes the economic concept of "deadweight loss"?
Select one:
a. The decrease in total surplus resulting from the removal of excise tax.
b. The decrease in total surplus resulting from the "distortion" to the market from a tax.
c. The increase in total surplus resulting from the removal of excise tax.
d. The increase in total surplus resulting from the "distortion" to the market from a tax.
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