Final answer:
The per-unit tax borne by producers with elastic demand is the area between the price received by producers and the original equilibrium price.
Step-by-step explanation:
When demand is elastic, the per-unit tax borne by producers is illustrated by the area between the price received by producers (Pp) and the original equilibrium price (Pe).
In scenarios where supply is inelastic and demand is elastic, such as with beachfront hotels, an introduced tax creates a wedge between the price paid by consumers (Pc) and the price producers receive (Pp). The difference between Pc and Pp represents the tax rate per unit. The tax incidence on producers is larger than on consumers because consumers can find alternatives more easily, and producers cannot move their businesses. This is also visually represented by a gap in a supply and demand graph where the tax pushes the supply curve upwards (or leftward) leading to a new equilibrium quantity (Qt) where the tax's impact is depicted.