Suppose the Demand for Gasoline Is Inelastic,but Not Perfectly Inelastic,and

question 8

Multiple Choice

Suppose the demand for gasoline is inelastic,but not perfectly inelastic,and the supply is elastic,but not perfectly elastic.A tax on gasoline is paid

• A)mostly by buyers.
• B)mostly by sellers.
• C)equally by buyers and sellers.
• D)totally by buyers.
• E)totally by sellers.

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Definitions:

Value Proposition

The unique value that a product or service provides to its customers and how it is better than and different from those of competitors.

Product

Anything that is of value to a consumer and can be offered through a voluntary marketing exchange.

Price

The overall sacrifice a consumer is willing to make—money, time, energy—to acquire a specific product or service.

Geodemographic Segmentation

The grouping of consumers on the basis of a combination of geographic, demographic, and lifestyle characteristics.