Microeconomics

Learn the toughest concepts covered in Microeconomics with step-by-step video tutorials and practice problems by world-class tutors

Introduction to Taxes and Subsidies

Effects of Taxes on a Market

Next Topic

Governments collect taxes to provide public services and infrastructure to an economy.

1

concept

Effects of Taxes

clock
9m
Play a video:
Was this helpful ?
0
2
Problem

If a tax has caused the market-clearing quantity to fall to Q2, what is consumer surplus?

3
Problem

If a tax has caused the market-clearing quantity to fall to Q2, what is total economic surplus?