Essay On Demand Of Cigarettes

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How does the demand of cigarettes affect its supply and price? Riya Desai 4s ARTICLE The article is about the minimum price of cigarettes of RM7 for a pack of 20 cigarettes is not a new measure and has been in place since January 2010. More than half of the minors (53%) said they buy their own cigarettes, while 30% got them from friends in Malaysia, 55% of the adolescent smokers smoke less than 10 sticks per day in Kelantan, 95% of shops sold cigarettes to minors without verifying their age. There are over 80,000 retail outlets selling cigarettes throughout the country and are located near schools. About 31% of teenage boys and 5.3% of girls are smokers. Australia and Singapore have high tobacco tax and…show more content…
Most of them buy their own pack of cigarette or they tell an adult friend to do so. The adults and teenagers smoking all together demand a high quantity of cigarettes. Cigarette is a de-merit good and it may cost a lot in the future. They are very addictive specially for the young crowd. Tobacco is a harmful product for both the society and the environment. Cigarettes are banned to children below the age of 18. Laws have been passed but it is not being taken seriously. Government keeps on warning the people but it works on few people. So the government increased the tax so most of the people can’t afford buying it. The demand and supply are two very important terms in economics. Demand is the willingness and ability to buy a certain desired product at a given price over a period. The law of demand states that as price rises the quantity demanded falls and as price falls the quantity demanded rises. Ceteris Paribus means that only price is changing and the other factors stays constant. Supply is the willingness and ability for a producer to produce a certain quantity of a product over a given

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