Question

How shifting of tax of a commodity take place under sotuation of demand elasticity and supply elasticity?

Answer 1

Answer:

The more elastic the supply curve, the easier it is for sellers to reduce the quantity sold instead of taking lower prices. In a market where both the demand and supply are very elastic, the imposition of an excise tax generates low revenue.

Answer 2

Answer:

selling goods instead of taking tax show under solution of demand elasticity and supply elasticity........