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The demand for chicken wings is more elastic than the demand for razor blades. Suppose the government levies an equivalent tax on chicken wings and razor blades. The deadweight loss would be larger in the market for _______________.

Respuesta :

sandlee09

Answer:

chicken wings

Explanation:

Based on this scenario it can be said that if this were to happen then the deadweight loss would be larger in the market for chicken wings than in the market for razor blades due to their higher elastic demand, which would ultimately cause the number of chicken wings to fall drastically when compared to the number of razor blades. Thus causing a greater loss of equilibrium for chicken wings.

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