Answer: A. The supply is more elastic than the demand
Explanation: When the supply of a product is more elastic than the demand the buyer of a good will bear the larger tax burden, when the demand for a good is more elastic than the supply the producer will bear the larger burden of the tax. When the tax placed on buyers of a product increases, the buyers will have to pay more for the good,this will lead to a reduced effective income for the sellers and generally Demand will become less elastic while the supply will now become more elastic as consumer preference will tend to reduce.
The purchase and suppy of goods and services takes place in the product market.
Answer:
d) Better expectations of future resource value.
Explanation:
Better expectations of future resource value involves competitive advantage that is attributed to intangible resource and future planning. It is a future expectation a business has about market dynamics that will bring future profits.
Brown Foods Inc anticipated that the prices of cocoa beans would double in less than three years, and they planned towards that expectation by buying cocoa plantations in Ghana. This eventually paid off and enabled the company survive in turbulent times.
Cars or Pizza is a desire