11Indirect Taxes SubsidiesMedium1 markDoctors are concerned about the negative health effects of sugary drinks. When would a tax on sugary drinks be least effective in improving health?Awhen the demand for sugary drinks is income elasticBwhen the demand for sugary drinks is income inelasticCwhen the demand for sugary drinks is price elasticDwhen the demand for sugary drinks is price inelasticGrade answerSolutionGrading criteria