In the case of relatively elastic demand, the money burden of tax is on:

CA Foundation · Business Economics · MTP · April 2025
In the case of relatively elastic demand, the money burden of tax is on:
(A) A. More on seller
(B) B. More on buyer
(C) C. Entirely on seller
(D) D. Entirely on buyer

Suggested Answer and Working Notes:

Correct Answer: Option (A)

A. More on seller

Topics: Price Determination in Different Markets

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