Deadweight losses arising from the presence of an excise tax are greatest when demand:
A.and supply are relatively inelastic.
B.is relatively inelastic and supply is relatively elastic
C.is relatively elastic and supply is relatively inelastic.
D.and supply are relatively elastic.

Question

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The Answer of Deadweight losses arising from the presence of an excise tax are greatest when demand:
A.and supply are relatively inelastic.
B.is relatively inelastic and supply is relatively elastic
C.is relatively elastic and supply is relatively inelastic.
D.and supply are relatively elastic.

Deadweight Losses Arising from the Presence of an Excise Tax