Most studies of tax incidence assume that taxes on labor income and other input services are borne entirely by the workers and other input owners that supply the services.This implies that the:

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The assumption that taxes on labor income and other input services are borne entirely by the workers and other input owners implies that the supply of those input services is perfectly inelastic. This means that the quantity supplied does not change in response to changes in price, including the imposition of a tax, leading to the burden being fully absorbed by the suppliers.

Most Studies of Tax Incidence Assume That Taxes on Labor