A brief discussion of the proposed tax on alcohol in the state of California.
Written in 2009; 949 words; 4 sources; MLA; $ 33.95
Paper Summary:
This paper discusses proposed legislation in California that would have increased the excise tax on alcohol in order to generate revenue for the state. The paper also explains the effects on the market of a price ceiling and a price floor on alcohol and shows how they are dependent on the demand of consumers.
From the Paper:
"Taxes differ inside any jurisdiction by different categories - wine, spirits, beer, and "coolers". Tax on alcohol is usually based on whatever the alcohol content is of the beverage. Of course, beverages with higher alcohol content are taxed at a higher rate than those beverages with lower alcohol content.
"Oftentimes, states give different taxes to beer. Beer is considered a malt beverage and is taxed on its alcohol content, as well. If a beer has an alcohol content that is higher than 16 percent (most beers have 16 percent or less), it will be taxed at a higher rate because it probably contains distilled spirits and therefore will be taxed at a distilled spirit rate."
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