Suppliers with a high supply elasticity will bear a ________ tax incidence, while suppliers with a low supply elasticity will bear a ________ tax incidence. A. lower; higher B. higher; lower C. lower or no; higher or full D. A and C E. None of the above
Suppliers with a high supply elasticity will bear a ________ tax incidence, while suppliers with a low supply elasticity will bear a ________ tax incidence. A. lower; higher B. higher; lower C. lower or no; higher or full D. A and C E. None of the above
Chapter20: Elasticity: Demand And Supply
Section: Chapter Questions
Problem 16E: Who would pay a tax imposed on the supplier when the price elasticity of supply is inelastic and the...
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Suppliers with a high supply elasticity will bear a ________ tax incidence, while suppliers with a low supply elasticity will bear a ________ tax incidence.
A. lower; higher
B. higher; lower
C. lower or no; higher or full
D. A and C
E. None of the above.
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