This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: A government is considering placing a tax on cigarettes to raise revenue to finance health-care ... (Read 33 times)

KWilfred

  • Hero Member
  • *****
  • Posts: 570
on: May 25, 2020
A government is considering placing a tax on cigarettes to raise revenue to finance health-care benefits. One of the arguments for this tax is that the demand for cigarettes is price inelastic. Which of the following statements is TRUE?
◦ No tax revenue can be raised in this way because sellers of cigarettes will just lower their price by the amount of the tax and therefore the price of cigarettes to consumers will not change.
◦ This tax will not raise much revenue either in the short term or the long term since demand is price inelastic.
◦ This is a very good way to raise revenue both in the short term and in the long term because there are no substitutes for cigarettes.
◦ The tax on cigarettes may not raise as much revenue as anticipated in the years to come because the demand for cigarettes is likely to become more elastic over time.
Essential Economics for Business ¦ Sloman, Jones ¦ 5th Edition
Buy Test-Bank


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by KWilfred on May 25, 2020

Laurenleakan

  • Sr. Member
  • ****
  • Posts: 309
Reply #1 on: May 25, 2020
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
Answer Preview
Only 25% of students answer this correctly


KWilfred

  • Member
  • Posts: 570
Reply 2 on: May 25, 2020
Gracias!

shewald78

  • Member
  • Posts: 340
Reply 3 on: Yesterday
Great answer, keep it coming :)

« previous next »
 

Did you know?

Adults are resistant to the bacterium that causes Botulism. These bacteria thrive in honey – therefore, honey should never be given to infants since their immune systems are not yet resistant.

Did you know?

Signs and symptoms that may signify an eye tumor include general blurred vision, bulging eye(s), double vision, a sensation of a foreign body in the eye(s), iris defects, limited ability to move the eyelid(s), limited ability to move the eye(s), pain or discomfort in or around the eyes or eyelids, red or pink eyes, white or cloud spots on the eye(s), colored spots on the eyelid(s), swelling around the eyes, swollen eyelid(s), and general vision loss.

Did you know?

Drugs are in development that may cure asthma and hay fever once and for all. They target leukotrienes, which are known to cause tightening of the air passages in the lungs and increase mucus productions in nasal passages.

Did you know?

Cancer has been around as long as humankind, but only in the second half of the twentieth century did the number of cancer cases explode.

Did you know?

The first successful kidney transplant was performed in 1954 and occurred in Boston. A kidney from an identical twin was transplanted into his dying brother's body and was not rejected because it did not appear foreign to his body.

Part of this child's pattern of daily living is attending child care during the work day Part of this child's pattern of daily living is attending child care during the work day
Common Health Problems in Community-Dwelling Older Adults Common Health Problems in Community-Dwelling Older Adults
Examples of indirect care Examples of indirect care
Comparison of Paper Medical Records and Electronic Health Records Comparison of Paper Medical Records and Electronic Health Records
As their numbers grow and their resources and health improve, the elderly will enjoy life more and ... As their numbers grow and their resources and health improve, the elderly will enjoy life more and ...
National Patient Safety Goals for Acute-Care Hospitals National Patient Safety Goals for Acute-Care Hospitals
Video: New DNA Strand Replication

For a complete list of videos, visit our video library