The diagram illustrates the effect of a government levying an indirect tax on a good. The initial demand curve is $D_1$ and the initial supply curve is $S_1$. What total tax revenue does the government obtain?
- A$1600$
- B$3200$
- C$4800$
- D$5000$
Economics 0455 · IGCSE · Fiscal policy
The diagram illustrates the effect of a government levying an indirect tax on a good. The initial demand curve is $D_1$ and the initial supply curve is $S_1$. What total tax revenue does the government obtain?