If the Demand for a Good Is Very Price Elastic

Multiple Choice

If the demand for a good is very price elastic, the imposition of a tax on that good

A) places the largest portion of the burden on the sellers of that product
B) places the burden of the tax equally on buyers and sellers
C) places the largest portion of the tax on consumers
D) will make demand more elastic than it was before the tax
E) will make demand more inelastic than it was before the tax