Who Bears the Burden of an Excise Tax If Demand

question 213

Essay

Who bears the burden of an excise tax if demand is perfectly inelastic? What if supply is perfectly inelastic? Use graphs in your explanation.

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Definitions:

Failure

The lack of success in achieving an intended outcome or goal, often leading to a learning opportunity.

Organizational Commitment

The psychological attachment and loyalty employees feel towards their organization, motivating them to continue contributing to its success.

Positive Emotions

Feelings that are enjoyable or bring pleasure, such as happiness, joy, or love, contributing to overall well-being.

Sadness

Sadness is an emotional state characterized by feelings of unhappiness and low mood, often in response to an event or situation.