Explain the meaning of the excess burden

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Reference no: EM13981482

1. Explain the meaning of the "excess burden," also called the "deadweight loss."

2. Do general taxes on sales, income, and produced wealth cause an excess burden? Explain.

3. What is the economic significance and consequence of the excess burden?

4. Are there morally acceptable sources of government revenue that would provide the current level of government spending and which do not have an excess burden? Explain why.

Reference no: EM13981482

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