The Higher the Compensated Elasticity of Supply of Savings

question 14

Multiple Choice

The higher the compensated elasticity of supply of savings,

• A) the lower the excess burden of a tax on capital income.
• B) the higher the excess burden of a tax on capital income.
• C) the higher the excess burden of a tax on labor income.
• D) both b and c

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Definitions:

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Top-down Mathematics

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