Need economics help with an economics question

Nov 9th, 2015
Price: $5 USD

Question description

  1. Jim has estimated elasticity of demand for gasoline to be 0.7 in the short-run and 1.8 in the long run. A decrease in taxes on gasoline would:


    lower tax revenue in both the short and long run


    raise tax revenue in both the short and long run


    raise tax revenue in the short run but lower tax revenue in the long run


    lower tax revenue in the short run but raise tax revenue in the long run.

Tutor Answer

(Top Tutor) Daniel C.
School: University of Maryland

Studypool has helped 1,244,100 students

Review from our student for this Answer

Nov 9th, 2015
"Thanks for the help. "
Ask your homework questions. Receive quality answers!

Type your question here (or upload an image)

1823 tutors are online

Brown University

1271 Tutors

California Institute of Technology

2131 Tutors

Carnegie Mellon University

982 Tutors

Columbia University

1256 Tutors

Dartmouth University

2113 Tutors

Emory University

2279 Tutors

Harvard University

599 Tutors

Massachusetts Institute of Technology

2319 Tutors

New York University

1645 Tutors

Notre Dam University

1911 Tutors

Oklahoma University

2122 Tutors

Pennsylvania State University

932 Tutors

Princeton University

1211 Tutors

Stanford University

983 Tutors

University of California

1282 Tutors

Oxford University

123 Tutors

Yale University

2325 Tutors