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Suppose people freely choose to spend 40 percent of their income on health care, but the government decides to tax 40 percent of a person's income to provide the same level of coverage as before.
What can be said about deadweight loss in each case?
60%-75% sometimes it may even depend on the person, 70%. Around 60% (for an adult).
Expert answered|uxiali|Points 86|
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Asked 6/22/2012 2:34:05 PM
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