If the price elasticity of supply has a lower elasticity than the price elasticity of demand, then tax incidence will:
A) fall more heavily on the seller.
B) fall equally on buyer and seller.
C) fall more heavily on the buyer.
D) equal zero.

Question

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The Answer of If the price elasticity of supply has a lower elasticity than the price elasticity of demand, then tax incidence will:
A) fall more heavily on the seller.
B) fall equally on buyer and seller.
C) fall more heavily on the buyer.
D) equal zero.

If the Price Elasticity of Supply Has a Lower Elasticity