Solved

If the Government Wants to Raise Tax Revenue and Shift

Question 88

Multiple Choice

If the government wants to raise tax revenue and shift most of the tax burden to the sellers it would impose a tax on a good with a


A) flat (elastic) demand curve and a steep (inelastic) supply curve.
B) steep (inelastic) demand curve and a flat (elastic) supply curve.
C) steep (inelastic) demand curve and steep (inelastic) supply curve.
D) flat (elastic) demand curve and a flat (elastic) supply curve.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions