When the Supply Curve of Labor Is Perfectly Inelastic the Burden

question 29

Multiple Choice

When the supply curve of labor is perfectly inelastic the burden of a social security tax is:

• A)borne partly by the employers and partly by employees.
• B)borne partly by the employers only if the demand for labor is elastic.
• C)entirely borne by the employees.
• D)entirely borne by the employers.

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