Alcopop Tax
Executive Summary
1. Introduction
2. Main issue
3. Key stakeholders
4. Economic theory 4.1 Opportunity cost 4.2 Subsidy 4.3 Law of demand 4.4 Cost of production 4.5 Government intervention (Taxation)
5. Solutions and Alternate Recommendations
6. Conclusion
Reference list
Executive Summary
The purpose of this report was to analyze the 'alcopops' tax with related economic theory and outline the main issue and identify the key stakeholders. Also, the report will provide solutions and alternate recommendations. This report is based on news article provided from teachers which are about 'alcopops' tax. Findings portray that alcopops are especially popular among teenagers and the imposition of the tax is not effective for young people due to they can find other sustitubes. However, the government can build a positive culture and educate young people for solving this problem.
1. Introduction
The Australian Federal Government is silently increasing the tax on pre-mixed alcohol after midnight in an attempt to reduce the consumption by teenagers among the young drinking culture. The tax has been increased by 70% and this will raise about $2billion over 4 years for the government. However many have argued that the tax increase will not have much use to reduce teenagers over consumption of alcohol and this is just a cover for the government to increase tax. In the following parts will present what the key issues have been raised and its relevant theory. Also alternative actions identified will be proposed.
2. Main issue
From 2000, there is an explosion in the sales of pre-mixed alcohol products. These products are especially popular among teenagers is because they are usually sweet, pretty, convenient and you can’t taste the alcohol. The abuse of alcohol among teenagers has caused a lot of troubles for the government. Since the explosion of pre-mixed alcohol products raise, the level of alcohol related violence has also increased. According to
1. Introduction
2. Main issue
3. Key stakeholders
4. Economic theory 4.1 Opportunity cost 4.2 Subsidy 4.3 Law of demand 4.4 Cost of production 4.5 Government intervention (Taxation)
5. Solutions and Alternate Recommendations
6. Conclusion
Reference list
Executive Summary
The purpose of this report was to analyze the 'alcopops' tax with related economic theory and outline the main issue and identify the key stakeholders. Also, the report will provide solutions and alternate recommendations. This report is based on news article provided from teachers which are about 'alcopops' tax. Findings portray that alcopops are especially popular among teenagers and the imposition of the tax is not effective for young people due to they can find other sustitubes. However, the government can build a positive culture and educate young people for solving this problem.
1. Introduction
The Australian Federal Government is silently increasing the tax on pre-mixed alcohol after midnight in an attempt to reduce the consumption by teenagers among the young drinking culture. The tax has been increased by 70% and this will raise about $2billion over 4 years for the government. However many have argued that the tax increase will not have much use to reduce teenagers over consumption of alcohol and this is just a cover for the government to increase tax. In the following parts will present what the key issues have been raised and its relevant theory. Also alternative actions identified will be proposed.
2. Main issue
From 2000, there is an explosion in the sales of pre-mixed alcohol products. These products are especially popular among teenagers is because they are usually sweet, pretty, convenient and you can’t taste the alcohol. The abuse of alcohol among teenagers has caused a lot of troubles for the government. Since the explosion of pre-mixed alcohol products raise, the level of alcohol related violence has also increased. According to