Understanding of elasticity and ability to increase revenue

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Elasticity.....an important, powerful and, at times, challenging topic. Imagine this: you just won a contest and have been appointed the State Tax Commissioner (you might be asking: why did I enter? and is this a good thing to win?) The State of CT has a multimillion dollar budget deficit to close by April 30, 2016. In terms of taxes - identify for the State of CT (being you are the Tax-man or Tax-woman at this point) - 3 taxes they could impose that would raise a lot of tax revenue quickly. Try to connect the taxes to your understanding of elasticity and its ability to increase revenue.

Reference no: EM131253066

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