When policy makers are deciding where to place the statutory incidence of a tax,it is helpful to remember that:
A) it will have no effect on the economic incidence of the tax.
B) the economic incidence will fall to the more-elastic party.
C) it will largely determine the economic incidence of the tax.
D) it will have a large impact on efficiency of the tax.
Correct Answer:
Verified
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Q85: A lump-sum tax:
A) takes the same percentage
Q86: A flat tax:
A) takes the same percentage
Q87: A regressive tax:
A) takes the same percentage
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Q92: We can describe who bears the burden
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