An investigation has recommended sweeping reforms in the construction industry and estimate it will cost $8 billion. The government wants to impose a 25%tax on paint to recover the cost. The population purchases 1.35 billion litres of paint a year. The price is $1.75/L. With 25% tax on paint, the price will be $2.19L. Price elasticity of demand for paint is -1.89.

How will the increase in paint price affect the demand for paint?