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Refer to the Graph Shown

question 52

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Refer to the graph shown. Assume the market is initially in equilibrium at point b in the graph but the imposition of a per-unit tax on this product shifts the supply curve up from S0 to S1. The welfare loss triangle from this tax is represented by area: Refer to the graph shown. Assume the market is initially in equilibrium at point b in the graph but the imposition of a per-unit tax on this product shifts the supply curve up from S<sub>0</sub> to S<sub>1</sub>. The welfare loss triangle from this tax is represented by area:   A)  cfg. B)  beg. C)  abc. D)  abdc.


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