Question

Suppose that the U.S. government decides to charge cola producers a tax. Before the tax, 35,000 cases of cola were sold every week at a price of $4 per case. After the tax, 30,000 cases of cola are sold every week; consumers pay $6 per case, and producers receive $3 per case (after paying the tax).
The amount of the tax on a case of cola is $__________ per case. Of this amount the burden that fails on consumer is $_________

Answer 1

Mark brainlest please


Answer:

The amount of tax will be $3
Tax Burden on consumer is $2
Tax burden on producer ( in case you want to know) will be $1

Check the image below.

Tax is equal to the difference between the price actually paid by the buyer and the price actually received by the seller. Tax= Price paid by buyer-Price received by seller Tax= $8-$5 Tax = $3 Thus the tax computed is $3 per case.