If the Government Is Most Interested in Minimizing Excess Burden

question 240

Essay

If the government is most interested in minimizing excess burden of an excise tax, should it impose the tax on goods whose demand curves are elastic or inelastic?

---

Definitions:

Recollections

The act of remembering past events or experiences.

Short-Term Memory

Short-term memory is the capacity for holding a small amount of information in the mind in an active, readily available state for a short period.

Rehearse

The act of practicing or going over material or skills repeatedly before a performance or test to ensure mastery and recall.

Available

Refers to something that can be used or accessed as needed.