If the demand for a product is inelastic but the supply is elastic, the ________ will bear the tax incidence. Question 43 options: a) the local government b) the producer c) the consumer d) the federal government

The burden of tax on consumers and producers is decided by the elasticity of demand and supply. The…

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the demand for a product is inelastic but the supply is elastic, the ________ will bear the tax incidence.

Micro Economics For Today

10th Edition

ISBN:9781337613064

Author:Tucker, Irvin B.

Publisher:Tucker, Irvin B.

Chapter5: Price Elasticity Of Demand And Supply

Section: Chapter Questions

Problem 25SQ

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If the demand for a product is inelastic but the supply is elastic, the ________ will bear the tax incidence.

Question 43 options:

a)	the local government

b)	the producer

c)	the consumer

d)	the federal government

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