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(Figure: Market for Electrical Components) Refer to the Figure Which

Question 45

Multiple Choice

(Figure: Market for Electrical Components) Refer to the figure which shows the market for electrical components. Which of the following statements is correct? (Figure: Market for Electrical Components)  Refer to the figure which shows the market for electrical components. Which of the following statements is correct?   A) The incidence of the tax on the buyer is 45% and on the seller is 55%. B) The incidence of this tax is greater on the buyer. C) The incidence of this tax is 50% on the buyer and 50% on the seller. D) The incidence of this tax is greater on the seller.


A) The incidence of the tax on the buyer is 45% and on the seller is 55%.
B) The incidence of this tax is greater on the buyer.
C) The incidence of this tax is 50% on the buyer and 50% on the seller.
D) The incidence of this tax is greater on the seller.

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