Suppose That in a Particular Market, the Supply Curve Is

question 35

Multiple Choice

Suppose that in a particular market, the supply curve is highly elastic and the demand curve is highly inelastic. If a tax is imposed in this market, then the

• A)buyers will bear a greater burden of the tax than the sellers.
• B)sellers will bear a greater burden of the tax than the buyers.
• C)buyers and sellers are likely to share the burden of the tax equally.
• D)buyers and sellers will not share the burden equally, but it is impossible to determine who will bear the greater burden of the tax without more information.

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Definitions:

Controllable Negative Events

Negative occurrences that an individual believes they have the power to influence or change.

Uncontrollable Negative Event

An incident or occurrence that is beyond an individual's control and has a harmful or undesirable impact.

Martin Seligman

A psychologist known for his work on the theory of learned helplessness, as well as being a founder of positive psychology.

Body Dissatisfaction Explanation

The cognitive and emotional discomfort or distress associated with a negative self-evaluation of one's body or appearance.