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Supply of a product is relatively inelastic

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If the supply of a product is relatively inelastic (as compared to demand) and government imposes an excise tax on producers, then: a) the tax will be mostly borne by producers b) the tax will be mostly borne by consumers c) the supply of the product will increase d) the demand for the product will increase e) the supply of the product will increase and the tax will mostly borne by consumers

Reference no: EM132278744

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