Suppose that nineteenth-century politicians had succeeded in their attempt to impose a "single tax"-a tax on suppliers of land (i.e., landlords).Most of the economic burden of the tax would have been borne by
A)renters, because the demand for land is generally less elastic than its supply.
B)renters, because the demand for land is generally more elastic than its supply.
C)landlords, because the demand for land is generally less elastic than its supply.
D)landlords, because the demand for land is generally more elastic than its supply.

Question

Quizplus · Accepted Answer

The economic burden of a tax falls more on the side of the market (supply or demand) that is less elastic. Since the supply of land is perfectly inelastic (fixed), landlords would bear most of the tax burden, regardless of the elasticity of demand.

Suppose That Nineteenth-Century Politicians Had Succeeded in Their Attempt to Impose