(Solution) - In the chapter most of the taxes we discussed were -(2025 Original AI-Free Solution)

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In the chapter, most of the taxes we discussed were equal to a certain dollar amount per unit. In this case, a tax on sellers results in a parallel upward shift of the supply curve; a tax on buyers results in a parallel downward shift of the demand curve. In reality, however, many taxes are expressed as a percentage. Graphically, how would you show a 100% tax on the sellers of a good? How would you show a 100% tax on the buyers of a good? One of the results of this chapter is that it doesn?t matter on whom the tax is levied?the result is the same. Show graphically that this also applies to percentage taxes.