O-LevelEconomicsGovernment and the macroeconomy2281/12 · Oct/Nov 2020 · Q191 Mark
The government wants to reduce the consumption of cigarettes. Which policy would be most likely to do this?
Aincreasing a subsidy on cigarettes
Bincreasing income tax
Cincreasing interest rates
Dincreasing the indirect tax on cigarettes
✓ Correct answer
D: increasing the indirect tax on cigarettes
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