A tax on a market that is already maximizing efficiency is: Inefficient equal to the price the buyer pays minus the price a seller receives O Government revenue All of the above

Ans. A tax on a market that is already maximising efficiency is:

Since, the seller will shift to the tax amount to the buyer , so entire tax burden will be borne by the buyers, therefore it is equal to the price the price the buyer pays minus the price a seller receives. Again this tax amount acts as the government revenue falling under category of tax revenue of the government. Besides these, imposing tax may discourage the producers for doing their businesses. Therefore, option All of the above is the correct.