Suppose a sales tax of $1 is imposed on DVDs.Suppose the tax causes the price received by suppliers of the DVDs to fall by 60 cents.In this situation,the economic incidence of the sales tax
A) falls more heavily on the demanders of DVDs.
B) falls more heavily on the suppliers of DVDs.
C) is evenly split between the demanders and suppliers of the DVDs.
D) is the same as the legal incidence of the tax.
Correct Answer:
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