Question: My answer is a)$0.67, however, the solution says the answer is b.)$0.40. How do I solve this? Suppose that there is a tax of $1

My answer is a)$0.67, however, the solution says the answer is b.)$0.40.

How do I solve this?

Suppose that there is a tax of $1 per unit, and the elasticity of supply is 3 and the elasticity of demand is 2 (in absolute value). How much of the $1 tax is paid by sellers?

a. $0.67

b. $0.40

c. $0.75

d. $0.60

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