The Buyer Pays Most of a Tax If Demand Is

question 12

Multiple Choice

The buyer pays most of a tax if demand is relatively inelastic because

• A)the buyer cannot easily substitute to other markets.
• B)the buyer can easily substitute to other markets.
• C)the government forces the seller to bear the burden of the tax.
• D)there is a black market for this good.
• E)the seller cannot easily substitute to other goods.

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