If the elasticity of demand for a good is greater than the ...

[burton19126]

If the elasticity of demand for a good is greater than the government expected:
 a. Consumers will bear more of the burden of the tax than the government expected.
  b. Producers will bear more of the burden of the tax than the government expected.
  c. The tax will raise less revenue than the government expected.
 d. Both b. and c. are true.

Question 2

The money supply is very sensitive to changes in the rate of interest.
 a. True
  b. False
  Indicate whether the statement is true or false

[ambernicolefink]

Answer to Question 1

b

Answer to Question 2

False