The Impact of a Tax Imposed on Buyers
{"Image DocumentName": "The Impact of a Tax Imposed on Buyers", "Image ImageDescription": "Tax Revenue from Sellers. Price. Note that the new quantity of used cars that make the market is 500. Tax Revenue from Consumers. As consumers are bearing  400 of the tax burden, and as there are 500,000 units being sold per month, the tax revenues derived from the consumers =  200,000,000. S. (of used cars) D. (for used cars) As sellers are bearing  600 of the tax burden, and as there are 500,000 units being sold per month, the tax revenues derived from the sellers =  300,000,000.  7,400. Deadweight Loss. D. (for used cars) - Tax.  7,000. Again the area above the supply curve and below the old demand curve represents the consumer and producer (total) surplus that is lost due to the imposition of the tax, the Deadweight Loss to Society.  6,400. Note that the incidence of the tax is the same regardless of whether it is imposed on buyers or sellers Quantity of Used Cars per Month (in thous.)", "Image XResolution": "37", "Image YResolution": "37", "Image ResolutionUnit": "Pixels/Centimeter", "Image Software": "SlidePlayer", "Image YCbCrPositioning": "Centered"}