4.1: Indirect taxes

What is the free market and what problems can it cause?

What are two types of taxes?

What is an indirect tax?

What are the 2 types of indirect taxes?

What is the relationship between indirect taxes and allocation of resources?

How to reduce or increase allocative efficiency with excise taxes?

What are the 4 reasons why governments impose indirect (excise) taxes?

What are the 2 types of indirect taxes?

What is a specific tax?

What is Ad Valorem tax?

When a tax is imposed what happens to the graph?

What is a stakeholder?

What is the consequence of indirect tax for a consumer?

How are producers affected by tax?

How does Government benefit from tax?

How are workers affected by imposition of tax?

How is society as a whole affected by the imposition of a tx?