a. The successful interdiction efforts will disrupt supply in the econoy and this will lead to increase in the level of equilibrium price in the economy. Since the demand elasticity of marijuana is relativley inelastic, this will lead to increase in drug dealer's revenue necause quantity demanded will change by a lesser amount as compared to price due to supply frictions.
b. This tax will increase tax revenue for the government because demand of the good is inelastic and in case of inelastic demand of the good, the tax revenue of the government will increase.
c. Since supply is more elastic than demand, thus, consumers bear most of the economic burden of the tax.
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