[Related to the Apply the Concept on page 130] According to a news story, Pennsylvania’s liquor tax is “paid by the seller—the restaurant or bar owner—when the seller buys liquor from state-run wine...

[Related to the Apply the Concept on page 130] According to a news story, Pennsylvania’s liquor tax is “paid by

the seller—the restaurant or bar owner—when the seller

buys liquor from state-run wine and spirit stores.” Briefly

explain the effect of how liquor taxes in Pennsylvania are

collected has on the price of a glass of wine a consumer

purchases in a restaurant in the state.

Source: Matt Assad, “How Booze Brings Heady Development,”

(Allentown, PA) Morning Call, February 22, 2015.