Other Things Equal, a Larger Share of a Tariff Is

question 30

Multiple Choice

Other things equal, a larger share of a tariff is more likely to be "paid" by the foreign exporting country B rather than the domestic importing country A if

• A) the supply curve of B's producers is very inelastic.
• B) the supply curve of A's producers is very inelastic.
• C) the demand curve of B's consumers is very elastic.
• D) the demand curve of A's consumers is very inelastic.