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How does tax affect supply and demand?

Ssfury:

Tax will affect pricing, but not actually supply and demand in the long run. Supply will flex according to demand. Sometimes, a tax increase can temporarily decrease demand though.
Taxes will cause the price to raise, and usually affects (decreases) the amount that the producer charges and makes unless the demand of the product is great enough that the producer can increase their price.

Sometimes, the tax increase can temporarily decrease demand though.

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