>[!abstract] >A sin tax is a government-imposed levy on goods or activities considered harmful to individuals or society, such as tobacco, alcohol, gambling, or sugary drinks. Its dual purpose is to discourage consumption by raising prices and to generate public revenue that can offset social costs, such as healthcare expenses. While proponents see sin taxes as a tool for behavioral correction and funding public goods, critics argue they can be regressive, disproportionately affecting lower-income groups, and may encourage black markets or substitution rather than genuine harm reduction. >[!related] >- **North** (upstream): — >- **West** (similar): — >- **East** (different): [[Externality neglect]] >- **South** (downstream): —