Mostly summarized from Gregory Mankiw’s Principles of Economics, 5th Ed.
PART 3 Markets and
Welfare
Chapter 8 of 36 Application: The Costs
of Taxation
Section 2 of 11
…
Figure 1 – The
Effects of a Tax
A tax on a good places a wedge between the price buyers pay
and the price sellers receive.
With a tax on a good, the quantity
demanded and supplied of the good falls.
…
Government enacts taxes raise revenue
for its operation.
That revenue must be paid by some or
all people.
Both buyers and sellers are worse off
when a good is taxed.
A tax increases the price buyers pay and
decreases the price sellers receive.
To understand how taxes affect economic well-being, we must
compare the reduced welfare of buyers and sellers with the amount of revenue
the government raises.
…
We use the tools of consumer and
producer surplus to make this comparison.
When analyzing the taxation effect on consumer
and producer surplus, we’ll see the cost of taxes to buyers and sellers exceeds
the revenue raised by government.
When a tax on a good is enacted,
regardless of whether the tax is levied on and paid by buyers or sellers of the
good, the total burden of the tax is the same.
When the tax is enacted the price paid
by buyers increases and the price received by sellers decreases.
Whether buyers or sellers bear all or
most of the burden of a tax is determined not by who actually pays the tax but
rather by elasticities of supply and demand.
…
Figure 1 shows effect of taxation on the
price buyers pay and the price sellers receive.
To simplify, this figure does not show
shifts in the supply or demand curve.
Which curve shifts depends on whether
the tax is levied
· on sellers – supply curve shifts
· on buyers - demand curve shifts
The relevant result in either case is the
tax creates a wedge between the price buyers pay and
the price sellers receive.
Because of the tax
· the quantity sold and bought becomes
less than without a tax
· buyers pay a higher price
· sellers receive a lower price
… …
the relevant result
kanren kekka
関連結果
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