If elasticity of demand is 1 and elasticity of supply is 0, what percentage of a 10 percent tax will be borne by consumers?
A. 10 percent.
B. 50 percent.
C. 0 percent.
D. 100 percent.
Answer: C
Economics
You might also like to view...
If a country experiences a real GDP growth rate of 4 percent, real GDP will double in
A) 14 years. B) 23.3 years. C) 25 years. D) 35 years. E) 17.5 years.
Economics
Should the government provide more and more public goods, so that we move increasingly towards a 'welfare state'? Why or why not?
What will be an ideal response?
Economics