Year 10 - Economics - 30-1-15

Thai Sikh International School

E-Learning Programme – Online Assignment –   29/ 01/2015

Name :                                                                                                        Subject :  Economics

Year   :  10 A & B                                                                                                     Schedule No. :  1

     Activity: 1

Ireland taxes supermarket carrier bags.  The main reason for this is to cut their use and reduce litter.  A number of other governments are considering the introduction of this measure and other green taxes.

   a.       Is a tax on carrier bags, a direct or an indirect tax? Explain your answer.

   b.      Identify two reasons for imposing a tax on carrier bags.

   c.       Using a demand and supply diagram, explain the effect of imposing a tax on carrier bags, on their market.