Birdwatch Note Rating
2025-01-25 00:33:39 UTC - HELPFUL
Rated by Participant: D37D8EC6DC9F6CB2B7B4E0F83DC4564E94CEA13B5E3ECE799A4AD0690AA70B2B
Participant Details
Original Note:
Whether or not a tax falls on consumers, producers, or some combination of both depends on the elasticity of the good. This is called "Tax Incidence". It is incorrect to claim the buyer pays for the entirety of the tariff without proper analysis of the good itself. https://www.investopedia.com/terms/t/tax_incidence.asp
All Note Details