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QUESTION 18 If a government is primarily interested in raising revenues from excise taxes, it should put the tax on a product/service which has .
QUESTION 18
If a government is primarily interested in raising revenues from excise taxes, it should put the tax on a product/service which has . . .
- unitary elasticity
- inelastic demand
- elastic demand
- it shouldn't make a difference as the elasticity of any good/service is not related to government revenues generated from excise taxes
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Modern Principles of Economics
Authors: Tyler Cowen, Alex Tabarrok
3rd edition
1429278390, 978-1429278416, 1429278412, 978-1429278393
