Respuesta :
I believe the answer is: loses some of the benefits of market efficiency.
Taxes would increase the average prices that exist on the market.
This mean that taxes would enlarge the sacrifices that buyers need to do to obtain a product and reduce some of its benefits.
But on the bright side, it would help the society in terms of wealth distribution.
Taxes would increase the average prices that exist on the market.
This mean that taxes would enlarge the sacrifices that buyers need to do to obtain a product and reduce some of its benefits.
But on the bright side, it would help the society in terms of wealth distribution.
When the government imposes taxes on buyers
or sellers of a good, society it loses some of the benefits of market
efficiency. When taxes increase, the prices that are currently distributed on
goods in the market will rise. Since the taxes are rising, the buyers have to
spend more money for a product before they are able to receive all benefits the
product can give them. Society and the market will benefit at a faster rate
because the distribution of money and wealth will rise and equal out better.
