Taxes Cause Deadweight Losses Because They Prevent Buyers and Sellers

question 37

True/False

Taxes cause deadweight losses because they prevent buyers and sellers from realizing some of the gains from trade.

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Definitions:

IaaS

Infrastructure as a Service (IaaS) is a cloud computing model that offers virtual computing resources via the internet.

PaaS

Platform as a Service is a cloud computing model that provides customers with a platform allowing them to develop, run, and manage applications without the complexity of building and maintaining the infrastructure typically associated with developing and launching an app.

SaaS

Software as a Service (SaaS) is a software distribution model in which a third-party provider hosts applications and makes them available to customers over the Internet, eliminating the need for local installation.

Cloud Computing

A technology that provides users and companies with access to computing resources over the internet, including storage, servers, databases, networking, software, and more.