Question: Why does the government place excise taxes on goods such as cigarettes and alcohol? Is it because these pro- ducts are sinful? (These taxes are

Why does the government place excise taxes on goods such as cigarettes and alcohol? Is it because these pro- ducts are “sinful”? (These taxes are often called “sin taxes.”) Do you believe that excise taxes reduce consumption of these goods by very much? What does your response to this question imply regarding the amount of government excise tax revenue?

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