(Figure: Commodity Tax with Elastic Demand) According Tothe Figure, Who

question 11

Multiple Choice

(Figure: Commodity Tax with Elastic Demand) According tothe figure, who bears the greater burden of a commodity tax?
Figure: Commodity Tax with Elastic Demand

• A)The buyer will bear the greater burden of the tax.
• B)The seller will bear the greater burden of the tax.(True Answer )Correct
• C)The buyer and the seller will split the tax burden equally.
• D)The government will bear the full burden of the tax.

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Definitions:

Alcoholics

Individuals who suffer from alcoholism, a chronic disease characterized by uncontrolled drinking and a preoccupation with alcohol.

HUAC Witch Hunts

Refers to the activities undertaken by the House Un-American Activities Committee (HUAC) during the late 1940s and 1950s to uncover and investigate alleged disloyalty and subversive activities on the part of private citizens and public employees.

CIO

The Congress of Industrial Organizations, a federation of unions that organized workers in industrial unions in the United States and Canada from 1935 until its merger with the AFL in 1955.

Organized Labor

Refers to labor unions and other groups that represent workers in negotiations with employers over wages, working conditions, and rights.