Answered You can hire a professional tutor to get the answer.
To combat the obesity epidemic, the government is considering a tax of $0.50 per can on non-diet soda. Cans of soda currently cost $1.
Can you help me with this question
4. To combat the obesity epidemic, the government is considering a tax of $0.50 per can
on non-diet soda. Cans of soda currently cost $1.00.
(a) If the government's goal were to reduce quantity by as much as possible, would it
prefer that supply be more elastic or less elastic? What about demand?
(b) If the government's goal were to raise revenue, would it prefer that supply be
more or less elastic? What about demand?
(c) Suppose elasticity of demand is