Multiple Choice
Figure 6-14.

-Refer to Figure 6-14.As the figure is drawn,who directly pays the tax to the government?
A) The buyers pay the full tax to the government.
B) The sellers pay the full tax to the government.
C) A portion of the tax is paid to the government by buyers and the remaining portion is paid to the government by sellers.
D) As the figure is drawn, any of the above is possible.
Correct Answer:
Verified
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