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From course:

Economics A Level

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Question:

What is the Purpose of Governments using Taxation [On Goods]

Author: go kys



Answer:

-This is to Cover the Cost of the Externalities it makes [Demerit Goods] -Taxes will make Revenue for the Government that can Offset the Consequences of the Externalities. This can also lead to the Disincentive of Production of Demerit Goods


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go kys
go kys