a. Draw a graph showing demand and supply in a perfectly competitive market with a perfectly elastic supply curve that is subject to an excise tax. Use the tools provided in the graph below to draw a perfectly elastic supply curve (S0), a perfectly elastic supply curve subject to an excise tax (S1), and market demand curve (D). Plot only the endpoints of each curve. The payment of this tax falls multiple choice 1 half on consumers and half on producers. mostly but not all on producers. mostly but not all on consumers. all on producers. all on consumers. b. Now draw a graph showing demand and supply in a perfectly competitive market with a perfectly elastic demand curve that is subject to an excise tax. Use the tools provided in the graph below to draw a perfectly elastic demand curve (D), a market supply curve (S0), and the market supply curve subject to an excise tax (S1). Plot only the endpoints of each curve. The payment of this tax falls multiple choice 2 half on consumers and half on producers. mostly but not all on producers. mostly but not all on consumers. all on producers. all on consumers.
a. Draw a graph showing demand and supply in a
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