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25-11-2022
Business

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Assume that the government imposes an excise tax on the consumption of a good. The tax will have the least impact on the market equilibrium quantity for which of the following combinations of the price elasticities of demand and supply?A. Absolute Value of Elasticity of DemandElasticity of Supply44B. Absolute Value of Elasticity of DemandElasticity of Supply40.50C. Absolute Value of Elasticity of DemandElasticity of Supply11D. Absolute Value of Elasticity of DemandElasticity of Supply0.504E. Absolute Value of Elasticity of DemandElasticity of Supply0.500.50

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