The term ________ refers to how the burden of the tax is distributed across various agents in the economy.

Question

Quizplus · Accepted Answer

Tax incidence refers to how the burden of the tax is distributed across various agents in the economy, such as consumers, producers, and workers. It can depend on factors such as the elasticity of supply and demand for the taxed product, and the ability of producers to pass the tax on to consumers in the form of higher prices.

The Term ________ Refers to How the Burden of the Tax