If supply is relatively inelastic when compared with demand in a perfectly competitive market, consumers will share a larger burden of an excise tax than producers. the incidence of the tax cannot be determined without more information consumers and producers will share the burden of an excise tax equally producers will share a larger burden of an excise tax than consumers

If supply is relatively inelastic when compared with demand in a perfectly competitive market, consumers will share a larger burden of an excise tax than producers. the incidence of the tax cannot be determined without more information consumers and producers will share the burden of an excise tax equally producers will share a larger burden of an excise tax than consumers

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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