If the Demand for a Good Is Perfectly Inelastic,then a Tax

question 38

Multiple Choice

If the demand for a good is perfectly inelastic,then a tax on the good will be paid

• A)completely by the buyers.
• B)completely by the sellers.
• C)equally by the buyers and sellers.
• D)mostly but not completely by the buyers.
• E)mostly but not completely by the sellers.

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Definitions:

Completeness

The state of having all necessary parts, elements, or steps; often relates to the thoroughness and comprehensiveness of information or processes.

Problem Solving

The process of working through details of an issue or challenge to reach a solution.

Quality Information

Quality information is data that is accurate, timely, relevant, complete, and presented in a manner that is understandable and usable for the intended purpose.

Decision Making

is the process of identifying and selecting alternatives based on values, preferences, and beliefs of the decision-maker.