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Because the Supply of Land Is Perfectly Inelastic,a Tax on Land

Question 158

Multiple Choice

Because the supply of land is perfectly inelastic,a tax on land income


A) is paid entirely by the suppliers.
B) is paid entirely by the demanders.
C) is shared equally between the suppliers and the demanders.
D) is shared, but not equally, between the suppliers and the demanders.
E) creates a deadweight loss.

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