If a Tax Is Imposed on a Market with Inelastic

question 148

Multiple Choice

If a tax is imposed on a market with inelastic supply and elastic demand,then

• A)buyers will bear most of the burden of the tax.
• B)sellers will bear most of the burden of the tax.
• C)the burden of the tax will be shared equally between buyers and sellers.
• D)it is impossible to determine how the burden of the tax will be shared.

---

Definitions:

Prefatory

Introductory or preliminary content preceding the main text of a document, book, or section.

Supplementary

Additional or extra elements that support or complement the primary.

Line Charts

Graphical representations that display information as a series of data points connected by straight line segments.

Extensive Data

A large amount of information collected and used for analysis or decision making.