Answer
a) The average fixed cost and the average total cost curves would shift due to the lump sum tax.
Work Step by Step
b) The average variable cost and the average total cost curves would shift due to the per burger tax.
Principles of Economics, 7th Edition
by Mankiw, N. Gregory
Published by
South-Western College
ISBN 10:
128516587X
ISBN 13:
978-1-28516-587-5
Chapter 13 - Part V - The Costs of Production - Problems and Applications - Page 277: 8
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