Scenario analysis: break-even marker price
T&T effectiveness (λ) | ||||
0.4 | 0.6 | 0.8 | ||
% change in net-of-tax price (a) | −10 | R3.03 | R4.20 | R5.24 |
0 | R2.85 | R4.02 | R5.06 | |
10 | R2.68 | R3.85 | R4.89 |
Each number represents the marker cost per pack that allows government to break even when implementing T&T at that cost, that is, additional revenue from T&T equals total cost of T&T. The highlighted cells present the minimum and maximum break-even marker costs.
T&T, track and trace.