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26-10-2019
Business

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Consider the demand for cigarettes. Suppose the government increases the price of cigarettes by raising cigarette taxes. How will this affect the demand for cigarettes over time? If the price of cigarettes increases, then the quantity of cigarettes demanded will

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phpastorino phpastorino

26-10-2019

Answer:

If the price of cigarettes increases, then the number of cigarettes demanded will decrease over time

Explanation:

The price elasticity is the price sensitivity of demand and for tobacco products, price elasticity is usually negative it means when price increases, tobacco consumption decreases.

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