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In a certain market, demand for diamonds is relatively elastic, while supply is quite inelastic. If the government imposes a tax on diamonds, who will

In a certain market, demand for diamonds is relatively elastic, while supply is quite inelastic. If the government imposes a tax on diamonds, who will pay the majority of the tax via lost surplus? The majority of the tax will be paid by suppliers of diamonds. The majority of the tax will be paid by consumers of diamonds. Neither consumer surplus nor producer surplus will decrease as a result of the tax. It depends on whether the tax is imposed on producers or consumers

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