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Unit 2.7(1): Governments in markets - indirect taxation

This page on indirect taxation covers the reasons for indirect tax, a graphical analysis of indirect tax, the effect of PED and PES on indirect tax and the impact of indirect tax on different stakeholders. An Indirect, or expenditure, tax is a tax added to the price of a good or service, collected by the firm selling it, and then paid to the government. There are two main types of indirect taxation: A specific tax or...

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