Fundamentals of Tax Incidence Analysis

Are you curious about the real impact of taxes beyond the legal obligation? Understanding tax incidence is crucial for analyzing public policy and predicting who truly pays when a government imposes a fee or levy. This course teaches you the foundational microeconomic tools necessary to determine the true distribution of the tax burden between consumers and producers. What you'll learn: * Understand the core concepts of tax incidence, including statutory burden versus economic burden. * Master the use of supply and demand curves to graphically determine incidence in partial equilibrium models. * Calculate the precise distribution of tax burden based on the relative elasticities of supply and demand. * Analyze the economic effects of various tax structures, including specific taxes, ad valorem taxes, and subsidies. * Apply foundational incidence models to evaluate modern policy proposals, such as consumption taxes or environmental levies. The course begins by establishing key microeconomic terminology and market definitions, then progresses through graphical analysis and mathematical exercises focused on elasticity. You will practice applying these models to solve complex policy problems. This program is designed for absolute beginners interested in economics, public policy, or finance, requiring no prior knowledge of calculus or advanced statistics. Start reading today and learn to see the hidden economic costs of taxation.