Imposition of Lump-Sum Taxes in Monopoly | Markets
In this article we will discuss about the imposition of lump-sum taxes in monopoly. Monopolies may be regulated by means of imposition of lump-sum taxes. Since a lump-sum tax is like a fixed cost to a monopolist, its imposition will result in an upward shift of his total cost (TC) curve by a vertical distance equal to the amount of [...]