The burden of a tax imposed on a good falls at least partially on consumers if:

Question

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When a tax is imposed on a good, the price paid by consumers for the good increases. This is because the producer may pass on part of the tax burden to the consumers by increasing the price of the good. Therefore, the burden of the tax falls at least partially on consumers. However, it is important to note that the ultimate distribution of the tax burden between consumers and producers depends on the price elasticity of demand and supply for the good.

The Burden of a Tax Imposed on a Good Falls