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Some economists argue that taxing consumption is more efficient than taxing income. following the same argument, the minister of finance of a country introduced a

Some economists argue that taxing consumption is more efficient than taxing income. following the same argument, the minister of finance of a country introduced a new tax for sugar based products " sugar tax" to promote healthy eating in the economy. if we assume that sugar is a basic commodity which is inelastic , use relevant diagrams to explain the impact of the tax on consumers , producers and the tax revenue.

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