In Addition to a State Excise Tax on Cigarettes of $4.35

question 242

Multiple Choice

In addition to a state excise tax on cigarettes of $4.35 per pack,New York City imposes an additional $1.50 per pack excise tax.A 2013 report estimated that nearly 60 percent of cigarettes sold in New York are smuggled into the state or purchased online to avoid these taxes.Evasion of the cigarette tax costs the state of New York approximately $1.7 billion in revenue per year.To maximize revenue,what should the state of New York do? Explain your answer.

• A) Increase the excise tax on cigarettes
• B) Keep the excise tax on cigarettes constant
• C) Decrease the excise tax on cigarettes
• D) Not enough information provided

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Definitions:

Transformational Perspective

An approach that emphasizes the ongoing, dynamic process of change, innovation, and evolution in organizations, individuals, or societies.

Charismatic Leadership

A leadership style characterized by the leader's ability to inspire and motivate followers through personal charm and persuasion.

Transformational Leadership

Leadership approach that causes change in individuals and social systems, enhancing motivation, morale, and performance.

Charismatic Leadership

A leadership style characterized by an individual's ability to inspire and motivate followers through personal charm and persuasive communication.