If a tax proportional to carbon emissions was passed, what would happen to the market for gasoline?

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If a tax proportional to carbon emissions was passed, what would happen to the market for gasoline?

Price would increase and quantity demanded would fall

Price would increase and quantity demanded would rise

Price would decrease and the quantity demanded would fall

Price would decrease and the quantity demanded would rise

Related Book For answer-question

Macroeconomics

ISBN: 978-1319120054

3rd Canadian edition

Authors: Paul Krugman, Robin Wells, Iris Au, Jack Parkinson

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Posted Date: Dec 12, 2022 06:14 AM

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If a tax proportional to carbon emissions was passed, what would happen to the market for gasoline?

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Macroeconomics

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