What is the effect of a tax on a good in terms of deadweight loss in a perfectly competitive market?

When a tax is placed on a good in a perfectly competitive market, it raises the price that consumers pay and lowers the price that producers receive. This change can lead to fewer transactions happening in the market because some buyers might decide not to purchase the good at a higher price, and some sellers might not want to sell at a lower price. As a result, the overall quantity of the good sold decreases, which creates a gap between what consumers are willing to pay and what producers are willing to accept. This gap, known as deadweight loss, represents the lost economic efficiency because there are transactions that would have occurred without the tax but do not happen now. For example, if a tax on coffee leads to fewer people buying and selling coffee than before, both consumers and producers miss out on the benefits of those lost transactions, resulting in a less efficient market.