Scenario...Recently there has been discussion in the news about taxing junk food (soft drinks, for example) in an effort to reduce the incidence of obesity in the U.S. Is this an example of elastic or inelastic with respect to price? considering price elasticity of demand, is the deadweight loss of a soda/junk-food tax relatively large or relatively small? Why? Would the tax be a good idea? Would it help reduce the number of obese people in the United States?

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