When a Tax on a Good Is Enacted,who Bears the Burden

question 156

Multiple Choice

When a tax on a good is enacted,who bears the burden of the tax

• A)Buyers and sellers share the burden of the tax regardless of whom it is levied on.
• B)Buyers always bear the full burden of the tax.
• C)Sellers always bear the full burden of the tax.
• D)The full burden of the tax falls on whoever the tax is levied on.

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Definitions:

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