Which of the Following Statements About a Land Tax Is

Multiple Choice

Which of the following statements about a land tax is correct?

A) A tax on raw land causes a small but positive deadweight loss.
B) Landowners and renters share the burden of a tax on raw land.
C) The government's tax revenue exactly equals the loss of the landowners.
D) The supply of improvements to land such as sewers and roads is perfectly inelastic.