Top Posters
Since Sunday
a
5
k
5
c
5
B
5
l
5
C
4
s
4
a
4
t
4
i
4
r
4
r
4
Home Q & A Board Other Fields Homework Help Business Economics
New Topic  
tlc_71111 tlc_71111
wrote...
Go to Answer
Posts: 507
Rep: 16 0
4 years ago

Suppose the price of gasoline is $3.50 per gallon, the quantity of gasoline demanded is 150 billion gallons per year, the price elasticity of demand for gasoline is -0.06, and the federal government decides to increase the excise tax on gasoline by $1.00 per gallon, which increases the price of gasoline by $0.75 per gallon. How much revenue does the federal government receive from the tax?



▸

$95.44 billion



▸

$111.20 billion



▸

$148.27 billion



▸

$161.61 billion

Textbook 
InMicro

InMicro


Edition: 1st
Authors:
Read 105 times
1 Reply
Do What Makes You Come Alive
Replies
Answer verified by a subject expert
mnp2357mnp2357
wrote...
#1
Posts: 404
Rep: 57 0
4 years ago
Sign in or Sign up in seconds to unlock everything for free
More solutions for this book are available here
1

Related Topics

tlc_71111 Author
wrote...

4 years ago
this is exactly what I needed
Turboturner
wrote...

Yesterday
This calls for a celebration Person Raising Both Hands in Celebration
fgarza2146
wrote...

2 hours ago
Thanks
New Topic      
Quick Reply
Explore
Post your homework questions and get free online help from our incredible volunteers
  1115 People Browsing
Start New Topic Take the Tour CoursesNew Study Tools Topics Trending Browse by Textbook
Live Chat
Related Images
  
 1418
  
 899
  
 238
Your Opinion
Where do you get your textbooks?
Votes: 372
Previous poll results: What's your favorite funny biology word?