=+d. Now suppose that the government imposes a tax on gasoline, and this doubles the opportunity cost

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=+d. Now suppose that the government imposes a tax on gasoline, and this doubles the opportunity cost of driving both types of cars. If you were indifferent before the tax was imposed, can you now say whether you will definitively buy one car or the other (assuming you waited to buy a car until after the tax is imposed)? What does your answer depend on? (Hint: It may be helpful to consider the extreme cases of perfect substitutes and perfect complements before deriving your general conclusion to this question.)

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