When a tax is placed on the sellers of energy drinks, the a. burden of the tax will be always be equally divided between the buyers and the sellers. b. burden of the tax will be shared by the buyers and the sellers, but the division of the burden is not always equal. c. buyers bear the entire burden of the tax. d. sellers bear the entire burden of the tax.

The correct answer is b) burden of the tax will be shared by the buyers and the sellers, but the division of the burden is not always equal.

Explanation:

According to the market equilibrium model, a market reaches equilibrium in the point where demand and supply curves intersect. When a new tax is introduced on sellers, the price of the good increases, shifting not only the supply curve, but the demand curve as well, since consumers will buy less of the good. Only if either demand or supply curve was completely elastic or completely inelastic, would the tax have incidence on either buyer or seller alone.

the aksumite empire was an ancient kingdom located in what is now northern ethiopia from the period of 100 ad to 940 ad. its capital was the city of aksum. the kingdom established itself as one of the 4 great powers at its time, along with persia, rome, and china.

the kingdom was rich in goods like gold, iron, and salt. it established strong commercial ties with the regions governed by rome, egypt, and persia (arabia). aksum was a key location in this commercial network. trade was also facilitated with the introduction of the aksumite currency.

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