Suppose a tax is imposed on each new hearing aid that is sold. the supply curve is a typical upward-sloping straight line, and the demand curve is a typical downward-sloping straight line. as a result of the tax, the equilibrium quantity of hearing aids decreases from 10,000 to 9,000, and the deadweight loss of the tax is $60,000. we can conclude that the tax on each hearing aid is:

The tax on hearing aid is $120 per unit.

Explanation:

The supply curve  for hearing aid is a typical upward-sloping straight line, and the demand curve is a typical downward-sloping straight line.

A tax is imposed on each unit of hearing aid.

As a result of the tax, the equilibrium quantity of hearing aids decreases from 10,000 to 9,000.

The deadweight loss of the tax is $60,000.

Deadweight loss =

$60,000 =

$60,000 =

Tax =

Tax = $120

answertaxable income;