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To portray taxes as only being paid by the end customers is a massive oversimplification, if businesses could charge the amount extra the tax supposedly increas
by throwaway2048 8y ago
To portray taxes as only being paid by the end customers is a massive oversimplification, if businesses could charge the amount extra the tax supposedly increased prices by and retain optimal profitability, they already would.
Taxes hit profit margins first, possibly pushing companies into non viability (unlikely to be much of a concern in this arena).
Remember that businesses don't just operate based on the cost of their inputs, they operate based on the price customers are willing to pay for their outputs aswell, which is often divorced entirely from the cost of inputs, especially in markets dominated by a few companies.