Economics (AS & A Level) · Feb / March 2021 · Paper 32 · Question 15

Recent research has shown that consumption of some foods might be harmful. A government committee considers how to intervene in the markets. Which intervention is most likely to reduce consumption of these foods without reducing income equality?

1. Aa minimum price for the harmful foods
2. Ba subsidy for substitute foods
3. Can ad valorem tax on the harmful foods
4. Dan indirect tax on the harmful foods

As printed in the paper