In relation to the above extract, explain the effect of the tax on the sugary drink market. Complement your explanation with the help of a fully labelled graph, showing clearly if the tax is unitary or ad valorem (do not copy and paste the graph from online sources). Use appropriate economic terminology to explain the effects of the tax. 6 marks

Extract: "Germany's doctors are demanding a 3-euro tax to be imposed per litre of sugary drinks and the government to take active action to raise awareness through information campaigns of the risks of the excessive consumption of high sugar foods. All these measures are proposed to tackle the Germany's obesity crisis and reduce other health related problems among population. Doctors believe that the money raised could help to fund an increase in state-financed weight control programmes. Obesity is estimated to cost the public health system 4.7 billion per year and to cost the wider economy 12 billion per year as result of negative impacts on productivity and higher absenteeism