Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

What is an argument in favor of taxes on illegal drugs? Question content area bottom Part 1 A fact that argues in favor of taxes

What is an argument in favor of taxes on illegal drugs?

Question content area bottom

Part 1

A fact that argues in favor of taxes on illegal drugs and against prohibition is that _______.

A.

the tax revenue can be used to make law enforcement more effective

B.

penalties for tax evasion are less than the penalties for illegal activities under prohibition

C.

a black market is easier to maintain under the tax code than under prohibition

D.

search activity decreases with higher taxes

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Economics of Money, Banking and Financial Markets

Authors: Frederic S. Mishkin

9th Edition

978-0321607751, 9780321599797, 321607759, 0321599799, 978-0321598905

More Books

Students also viewed these Economics questions

Question

In Problems 3956, find each sum. 8 +81 +81 +8 + 4 8+8+9+ +50

Answered: 1 week ago