A four dollar tax on a gallon of gasoline would
A. lower gasoline consumption and lower air pollution.
B. lower gasoline consumption and raise air pollution.
C. raise gasoline consumption and raise air pollution.
D. raise gasoline consumption and lower air pollution.
A. lower gasoline consumption and lower air pollution.
You might also like to view...
Figure 10.2 A Macroeconomic Model with Government Spending and Taxes
What will be an ideal response?
What are the three functions that a commodity must fulfill to be useful as money?
What will be an ideal response?
The marginal propensity to consume (mpc) is the:
A. percentage by which disposable income increases when consumption increases by 1 percent. B. amount by which disposable income increases when consumption increases by $1. C. percentage by which consumption increases when disposable income increases by 1 percent. D. amount by which consumption increases when disposable income increases by $1.
What is the rule for efficient output selection and how does the competitive market achieve it?