When Government Gives a Subsidy to Buyers of Good X

Multiple Choice

When government gives a subsidy to buyers of good X, the benefits of the subsidy flow to

A) the buyers of good X only.
B) the sellers of good X only.
C) the buyers and sellers of good x equally.
D) both the buyers and sellers of good x, and the distribution of the benefits will be dependent on the elasticity of demand and the elasticity of supply.