Commodity Taxation

Inverse Elasticity Rule: Efficient Commodity Taxation
A rule describing efficient commodity taxation in a single consumer economy when there are no cross-price effects in demand, establishing that goods with low elasticities of demand should be taxed highly.
Repressive Tax: Economic and Behavioral Discouragement
Repressive Tax is designed to discourage specific activities by imposing high tariffs and taxes on certain commodities, such as tobacco and alcohol. These taxes aim to reduce consumption rather than raise revenue.

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