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applications_taxation

applications_taxation

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Published by: api-3696178 on Oct 16, 2008
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05/09/2014

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Copyright\u00a92004 South-Western
Application: The
Costs of Taxation
Copyright \u00a9 2004 South-Western/Thomson Learning
Application: The Costs of Taxation
\u2022Welfare economics

Welfare economics is the study of how the
allocation of resources affects economic well-
being.

\u2022Buyers and sellers receive benefits from taking part
in the market.
\u2022The equilibrium in a market maximizes the total
welfare of buyers and sellers.
Copyright \u00a9 2004 South-Western/Thomson Learning
THE DEADWEIGHT LOSS OF
TAXATION
\u2022How do taxes affect the economic well-being of
market participants?

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