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3. The Governor wants to increase State revenue in light of the forecast$1.9 billion budget gap. Some advisors support raising the state tax on gasoline.

3. The Governor wants to increase State revenue in light of the forecast$1.9 billion budget gap. Some advisors support raising the state tax on gasoline. Others support a tax on luxury items.Explain the economic concepts that apply. What would someone recommend? Pros and cons, please.

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