Will people tend to consume too much amount of alcohol

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One rationale for imposing taxes on alcohol consumption is that people who drink alcohol impose negative spillovers on the rest of society- for example, through loud and unruly behavior or intoxicated driving.

If this rationale is correct, in the absence of governmental taxation, will people tend to consume too much, too little, or the right amount of alcohol?

Reference no: EM131184573

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