The Incidence of a Tax Is Unrelated to

question 12

Multiple Choice

The incidence of a tax is unrelated to

• A) how responsive producers are to the tax.
• B) how responsive consumers are to the tax.
• C) the elasticity of supply.
• D) the elasticity of demand.
• E) who pays the tax out of pocket.

---

Definitions:

Fraudulent Misrepresentation

A false statement of fact made by a person who knows, or should know, that it is false, and made with the intention of deceiving another.

Authority

The legal power or right given to an individual or body to make decisions, enforce rules, or govern.

Identity

The distinguishing character or personality of an individual; aspects that make up who someone is.

Warranty of Authority

A guarantee made by an agent that they have the authority from their principal to perform a certain act.