The Tax on Gasoline

question 488

Multiple Choice

The tax on gasoline

• A)reduces efficiency by causing large deadweight losses.
• B)reduces efficiency by decreasing consumer surplus and producer surplus.
• C)enhances efficiency by serving as a corrective device in a market with positive externalities.
• D)enhances efficiency by serving as a corrective device in a market with negative externalities.

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Definitions:

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A gathering of individuals engaging in sewing activities, often for communal projects or social interaction.

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Thomas Jefferson was the third President of the United States, author of the Declaration of Independence, and a leading figure in the early development of American democracy, philosophy, and education.

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American political figure and vice president under Thomas Jefferson, known for killing Alexander Hamilton in a duel and his controversial political career.

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John Adams was the second President of the United States, serving from 1797 to 1801, and a key figure in the founding and early development of the country.