(Figure: Commodity Tax with Elastic Demand) According to the figure, who bears the greater burden of a commodity tax? Figure: Commodity Tax with Elastic Demand
A) The buyer will bear the greater burden of the tax.
B) The seller will bear the greater burden of the tax.
C) The buyer and the seller will split the tax burden equally.
D) The government will bear the full burden of the tax.

Question

(Figure: Commodity Tax with Elastic Demand) According to the figure, who bears the greater burden of a commodity tax? Figure: Commodity Tax with Elastic Demand 
A) The buyer will bear the greater burden of the tax. 
B) The seller will bear the greater burden of the tax. 
C) The buyer and the seller will split the tax burden equally. 
D) The government will bear the full burden of the tax.

Quizplus · Accepted Answer

The Answer of (Figure: Commodity Tax with Elastic Demand) According to the figure, who bears the greater burden of a commodity tax? Figure: Commodity Tax with Elastic Demand 
A) The buyer will bear the greater burden of the tax. 
B) The seller will bear the greater burden of the tax. 
C) The buyer and the seller will split the tax burden equally. 
D) The government will bear the full burden of the tax.

(Figure: Commodity Tax with Elastic Demand) According to the Figure