Assertion (A): A specific (per-unit) excise tax on a good with perfectly inelastic demand results in no deadweight loss. Reason (R): When demand is perfectly inelastic, the entire tax burden is shifted forward to consumers, leaving quantity unchanged and generating no allocative distortion. Select the correct code:

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Economics · Tax Incidence and Inefficiency

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Both A and R are true, and R is the correct explanation of A

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