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If the demand for a commodity is perfectly elas... - JAMB Economics 2019 Question

If the demand for a commodity is perfectly elastic, the incidence of a tax on that commodity will be, other things being equal, entirely on the_______

A
buyer
B
seller
C
government
D
local authority
correct option: b

Attempt to increase price will make the demand for the commodity to fall to zero. The seller or prouder will bear the whole burden of taxation. 

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