Question

if the government permanently increases the price of cigarettes will the policy have a larger effect on smoking 1 year from now or 5 years from now​

Answer 1

Explanation:

Consider public policy aimed at smoking. a. Studies indicate that the price elasticity of demand for cigarettes is about 0.4. If a pack of cigarettes currently ...

Top answer · 1 vote

The government should increase the price by 50\% to reduce the quantity demanded by 20\%. Further the effects of any policy change will be felt over ... More