The government decided to reduce taxes on fast-food to increase revenue. The government assumes that fast-food products have a.

Question

Julli [10]

3 years ago

11

The government decided to reduce taxes on fast-food to increase revenue. The government assumes that fast-food products have a.

An elastic demand b. Unitary elastic demand curve c. An inelastic demand d. A demand curve that is upward sloping

Business

1 answer:

AveGali [126] · Answer 1 · 2022-06-09T10:27:53+03:00

AveGali [126]3 years ago

3 0

Answer:

option (a) An elastic demand

Explanation:

This is when taxes are reduced on fast food , the prices will decrease and people will patronize more ,and with this the demand is elastic, people would consume more which increases the revenue.