Creating Graphs The state legislature proposes new 10 percent excise taxes on the

Chapter 14, Problem 11

(choose chapter or problem)

Creating Graphs The state legislature proposes new 10 percent excise taxes on the following goods and services: gasoline, ice cream, local telephone service, and sports cars. For each good or service create supply and demand curves showing the supply curve before the tax and how the supply curve shifts after the tax. Under each graph, write a caption explaining who will pay more of the tax the consumer or the producerand why.