Multiple Choice
If a tax is imposed on a good with a perfectly elastic supply,the burden of the tax will be borne
A) by both consumers and producers equally.
B) by consumers alone.
C) by producers alone.
D) mostly by consumers but partially by producers.
E) mostly by producers but partially by consumers.
Correct Answer:

Verified
Correct Answer:
Verified
Related Questions
Q41: The difference between the willingness to pay
Q42: Taxing goods with very elastic supply generates
Q43: Holding all else constant,when the price of
Q44: Explain why in an ideal supply and
Q45: The incidence of a tax is determined
Q47: The incidence of a tax is not
Q48: Producers will lose no producer surplus due
Q49: When a tax is imposed on some
Q50: It is said that taxes drive a
Q51: All taxes create some deadweight loss except