Indirect Taxes
Indirect Taxes
An indirect tax is a tax on spending. It shifts the supply curve vertically upwards by the amount of the tax because producers must cover their original costs plus the tax.
Step-by-step lessons covering Edexcel A A Level Economics 1.2.9 Indirect taxes and subsidies for A Level Economics. Each lesson works through exam-style questions in Paper 1, Paper 2 and Paper 3 format. Start with the core supply-and-demand models before moving on to the more evaluation-heavy macroeconomic policy topics.