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Sin Taxes are designed to influence behavior by making certain activities more costly, while simultaneously generating revenue.
The main purpose of a Sin Tax is to encourage or discourage behavior deemed harmful to society. By imposing higher taxes on items like alcohol, cigarettes, and gambling, it aims to make these behaviors more expensive, potentially reducing participation in them. While one objective is to deter people from engaging in these activities, generating revenue is also a significant goal of implementing Sin Taxes.
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