Taxes on goods with ____ demand curves will tend to raise more tax revenue for the government than taxes on goods with ____ demand curves.

Name: Taxes on goods with ____ demand curves will tend to raise more tax revenue for the government than taxes on goods with ____ demand curves.
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Question

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Goods with inelastic demand curves are less sensitive to price changes, so consumers will continue to buy them even when taxes increase prices, leading to higher tax revenue.

Taxes on Goods with ____ Demand Curves Will Tend to Raise