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Question
Suppose cars are taxed according to the amount of pollution they emit per gallon of gasoline consumed. We would expect to observe all of the following EXCEPT
A) an increase in quantity demanded of less-polluting automobiles and a reduction in quantity demanded of more-polluting automobiles.
B) an increase in quantity demanded of more fuel -efficient cars.
C) an increase in production of automobiles that were less polluting.
D) an increase in the miles driven.
Answer
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Related questions
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