Suppose a ban is imposed on consumption of tobacco examine is its likely impact on (i )GDP (ii) welfare
Dear Student
Imposition of ban on consumption of tobacco will have the following effects on :
(1) It will bring down the GDP of the country because a very large proportion of the GDP comes from tobacco and related products, hence a ban on consumption would be bad in respect of the GDP numbers
(2)But such a ban would have a very good impact on the society and will lead to availability of more and more robust human beings who could now contribute to the economy and the rate of deteriorating health of humans due to the consumption of tobacco will also come down.Hence leading to a very good and large impact on the welfare of the society.
Regards
Imposition of ban on consumption of tobacco will have the following effects on :
(1) It will bring down the GDP of the country because a very large proportion of the GDP comes from tobacco and related products, hence a ban on consumption would be bad in respect of the GDP numbers
(2)But such a ban would have a very good impact on the society and will lead to availability of more and more robust human beings who could now contribute to the economy and the rate of deteriorating health of humans due to the consumption of tobacco will also come down.Hence leading to a very good and large impact on the welfare of the society.
Regards