Discuss the effects of direct taxes on consumer behavior.

There is an _________ relationship between tax rate and supply of a good

Suppose the market for cigarette is competitive. An economist estimates the price elasticity of demand and supply for cigarette are -0.8 and 0.7 respectively. Suppose the government imposes a per-unit tax of $45 Some economists believe that a sales tax, in general, is undesirable. Explain. Despite this, why do most countries still impose a tax on cigarette? Explain plausible arguments.

How does a tax on a good affect the price paid by buyers, price receive by sellers, and the quantity sold?

some economists have argued that corporate taxes should be eliminated and only individuals should be taxed. explain.

If the government doubles the tax on gasoline, can you be sure that revenue from the gasoline tax will rise?

As shown in Exhibit 3-10, assume the government places a $1 per pack sales tax on cigarettes. The percentage of the burden of taxation paid by consumers of a pack of cigarettes is:​

Explain the reason why Albert Einstein said, "The hardest thing to understand in the world is the income tax."(please do not copy answers on the internet, thank you)

When assessing the welfare effects of taxes, we can conclude that They are always welfare increasing, because they allow the government to provide essential goods They are usually welfare decreasing in the market in which they are raised, but for society as a whole it depends on how they are used They are always welfare decreasing They are welfare neutral, because whatever is lost by producers and consumers goes instead to the government and therefore is just a reallocation of money

Define net taxes.