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(Solved): 21) Assume that the demand for air travel is highly price elastic. An added $10 excise tax on air ...



21) Assume that the demand for air travel is highly price elastic. An added $10 excise tax on air travel will be: a. paid entirely by the travelers. b. paid primarily by the travelers. c. paid entirely by the airlines. d. paid primarily by the airlines. e. any of the above is possible.



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