the supply of a good is perfectly inelastic, then suppliers will bear the full burden of an excise taxno matter how elastic the demand for the good is.b. only if demand is perfectly elastic.only if demand is perfectly inelastic.d. only if the govemment forbids them to raise the price of the good.None of the abovea.:C.e. Swith tax125120S.100954,000 6,00037.The figure above shows the widget market before and after an excise tax is imposed. What percentage of thetax per widget is bome by consumers, considering the true economic incidence of the tax?a. O percentb. 20 percentc. 50 percentd. 80 percentNone of the abovee.

Market refers to the place where the consumer can buy whatever they want to buy at the given prices…

the supply of a good is perfectly inelastic, then suppliers will bear the full burden of an excise tax no matter how elastic the demand for the good is. b. only if demand is perfectly elastic. only if demand is perfectly inelastic. d. only if the govemment forbids them to raise the price of the good. None of the above a. C. e.

the supply of a good is perfectly inelastic, then suppliers will bear the full burden of an excise tax no matter how elastic the demand for the good is. b. only if demand is perfectly elastic. only if demand is perfectly inelastic. d. only if the govemment forbids them to raise the price of the good. None of the above a. C. e.

Microeconomics A Contemporary Intro

10th Edition

ISBN:9781285635101

Author:MCEACHERN

Publisher:MCEACHERN

Chapter5: Elasticity Of Demand And Supply

Section5.A: Appendix: Price Elasticity And Tax Incidence

Problem 2AQ

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