question archive Suppose the price elasticity of demand for addicts of a drug is 0
Subject:EconomicsPrice:2.88 Bought3
Suppose the price elasticity of demand for addicts of a drug is 0.11 and 3.46 for casual users. If the government legalized the drug and then implemented a tax on it so that its price rose, expenditure by addicts would _ _ _ _ _ _ _ _ and expenditure by casual users would _ _ _ _ _ _ _ _ .
increase; decrease
decrease; increase
decrease; decrease
not change; decrease
increase; increase
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