Only in the Case of Perfectly Inelastic Demand Will Consumers

question 52

True/False

Only in the case of perfectly inelastic demand will consumers pay the full amount of a specific tax or ad valorem tax.

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Definitions:

Somatic Nervous System

A part of the peripheral nervous system that controls voluntary movements of the body and transmits sensory information to the central nervous system.

Sympathetic Nervous System

Part of the autonomic nervous system responsible for the body's 'fight or flight' response to stress.

Parasympathetic Nervous System

A branch of the autonomic nervous system responsible for conserving energy and bringing the body to a restful state.

Central Nervous System

The part of the nervous system consisting primarily of the brain and spinal cord, responsible for processing and sending out nerve signals.