Some Policymakers Have Argue That Products Like Cigarettes, Alcohol, and Sweetened

question 39

Multiple Choice

Some policymakers have argue that products like cigarettes, alcohol, and sweetened soda generate negative externalities in consumption. All else equal, if the government decided to impose a tax on soda, the equilibrium quantity of soda would ________ and the equilibrium price of soda would ________.

• A) increase; increase
• B) increase; decrease
• C) decrease; increase
• D) decrease; decrease

---

Definitions:

Relational Transparency

Being open and honest in communications, fostering trust and understanding within relationships, especially in leadership.

Soliciting Viewpoints

The act of actively seeking out and listening to the opinions, suggestions, and feedback from others.

Fair Consideration

The equitable and impartial assessment of all factors or individuals in a decision-making process.

Theoretical Model

is a systematic representation of an idea or concept that explains phenomena or relationships within a specific field of study.