When a Tax Is Imposed on a Good for Which

question 50

Multiple Choice

When a tax is imposed on a good for which both demand and supply are very elastic,

• A)sellers effectively pay the majority of the tax.
• B)buyers effectively pay the majority of the tax.
• C)the tax burden is equally divided between buyers and sellers.
• D)None of the above is correct;further information would be required to determine how the burden of the tax is distributed between buyers and sellers.

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Definitions:

Intonation

The variation of pitch while speaking, which can affect the meaning of words and sentences, and is a critical aspect of verbal communication and language.

Cooing

Cooing refers to the early vocalization of infants, characterized by the production of soft, vowel-like sounds.

Repetitive Sounds

Sounds or sequences of sound that are repeated frequently, which can be a part of language learning or music.

Babbling

An early stage in language acquisition for infants, characterized by the production of sounds or syllables that do not correspond to specific words.