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The determinants of the deadweight loss in economics are the price elasticities of supply and demand.

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Q: What are the determinants of the dead weight loss in economics?
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Give examples of tangible and intangible dead-weight loss to society by govt policies?

Tangible dead-weight loss: Government-imposed tariffs that create inefficiencies in the market, leading to higher prices for imported goods and reduced consumer surplus. Intangible dead-weight loss: Regulatory barriers that stifle innovation and prevent new businesses from entering the market, resulting in lost opportunities for economic growth and development.


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What does the term dead weight of taxation mean?

The term "deadweight loss of taxation" refers to the negative manner that better defines the wedge a tax places between buyers & sellers. In this particular situation the "dead weight loss" reduces the product or quantity exchanged. The tax increases the "wealth" of the government and reduces the welfare of both buyer & seller. Taken in its totality it's a dead weight loss because all three parties to the exchange are reduced because the cost of the tax exceeds the revenue raised by the government.


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What happens on equilibrium price when the government impose tax on goods?

if there is equilibrium in the market and the govt. fixes the price then there would be the dead weight loss.


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Does the government intervention in the market can cause the deadweight loss?

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