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Assume the government increases the per-unit tax on production of Good L. As a result of the tax increase, government revenue from the tax increases,

Assume the government increases the per-unit tax on production of Good L. As a result of the tax increase, government revenue from the tax increases, indicating that price elasticity of demand for Good L is

a. equal to the elasticity of supply for Good L

b. less than 1

c. 1

d. greater than 1

e. indeterminate

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