Suppose that a tax is placed on a particular good. If the consumers pay a higher share of the tax, this indicates that the Group of answer choices government has required that buyers remit the tax payments. government has required that buyers remit the tax payments. supply is more inelastic than the demand. demand is more inelastic than the supply

Suppose that a tax is placed on a particular good. If the consumers pay a higher share of the tax, this indicates that the Group of answer choices government has required that buyers remit the tax payments. government has required that buyers remit the tax payments. supply is more inelastic than the demand. demand is more inelastic than the supply

Economics:

10th Edition

ISBN:9781285859460

Author:BOYES, William

Publisher:BOYES, William

Chapter20: Elasticity: Demand And Supply

Section: Chapter Questions

Problem 9E

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Similar questions

The local government decides to impose a sales tax on some selected items. On item X the final prices increases almost the full amount of the tax, demand does not change much and the tax revenues collected are quite high. On item Y the price increases very little but demand falls quite a bit and very little tax revenue is collected. Is this a violation of the law of demand or something else? Explain.
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