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when the government imposes a unit tax on a commodity with perfectly inelastic demand ,…

when the government imposes a unit tax on a commodity with perfectly inelastic demand , the
  • A.
    tax is borne entirley by the seller
  • B.
    tax is shared equally between the buyer and the seller
  • C.
    seller bears 70% and the consumer bears 30% of the tax
  • D.
    tax is borne entirely by the consumer
  • E.
    tax is borne by nobody
Correct Answer: Option D
Explanation