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    Exam 8: Application: the Costs of Taxation
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    When the Size of a Tax Is Doubled,what Happens to the Deadweight
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When the Size of a Tax Is Doubled,what Happens to the Deadweight

Question 160

Question 160

Multiple Choice

When the size of a tax is doubled,what happens to the deadweight loss from the tax


A) It increases by the size of the tax.
B) It doubles.
C) It remains constant.
D) It increases by a factor of four.

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