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    Principles of Microeconomics Study Set 10
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    Exam 12: The Design of the Tax System
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    Taxes Can Create Deadweight Losses Because They
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Taxes Can Create Deadweight Losses Because They

Question 67

Question 67

Multiple Choice

Taxes can create deadweight losses because they


A) allow the government to fund private goods.
B) create administrative burdens as people comply with tax laws.
C) allow the government to fund public goods.
D) Both b and c are correct.

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