Economics for Today 9th Edition by Irvin Tucker

تمرين 10

Using supply and demand analysis, which of the following is true , the more elastic the demand curve?
A) The larger the portion of a sales tax that is passed on to the consumer.
B) The smaller the portion of a sales tax that is passed on to the consumer.
C) It does not make any difference how flat the demand curve is; the tax is always split evenly between buyer and seller.
D) The full tax is always passed on to the consumer no matter how flat the demand curve is.