According to the figure, what share of the per unit tax on Direct TV programming is paid by the buyers and what share is paid by the sellers?

Principles of Economics 2e
2nd Edition
ISBN:9781947172364
Author:Steven A. Greenlaw; David Shapiro
Publisher:Steven A. Greenlaw; David Shapiro
Chapter5: Elasticity
Section: Chapter Questions
Problem 20RQ: Under which circumstances does line tax burden fall entirely on consumers?
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According to the figure, what share of the per unit tax on Direct TV programming is paid by the buyers and what share is paid by the sellers?

Figure: the Direct TV market.
Price
$114
$90
$84
Select one:
Demand-tax
C.
O d.
10,000 13,000
Demand
a. 100% and 0%, respectively
b.
0% and 100%, respectively
50% and 50%, respectively
80% and 20%, respectively
e. 20% and 80%, respectively
-Supply
Quantity
Transcribed Image Text:Figure: the Direct TV market. Price $114 $90 $84 Select one: Demand-tax C. O d. 10,000 13,000 Demand a. 100% and 0%, respectively b. 0% and 100%, respectively 50% and 50%, respectively 80% and 20%, respectively e. 20% and 80%, respectively -Supply Quantity
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