Which generalization is incorrect?
A) Given supply, the more elastic the demand for a product, the larger is the portion of an excise tax that is shifted forward to consumers.
B) Given demand, the more elastic the supply of a product, the larger is the portion of an excise tax that is borne by producers.
C) Given supply, the more elastic the demand for a product, the larger is the portion of an excise tax that is borne by the sellers.
D) Given demand, the less elastic the supply of a product, the larger is the portion of an excise tax that is shifted forward to consumers.
Correct Answer:
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