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Attempts :l:|:| Do No Harm / 1 6. Achieving lower pollution Imagine the government decides to raise the petrol tax as a way to reduce

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Attempts :l:|:| Do No Harm / 1 6. Achieving lower pollution Imagine the government decides to raise the petrol tax as a way to reduce air pollution and traffic congestion to their optimal levels. Which of the following describes why corrective taxes, such as the petrol tax, are unlike most other taxes? 0 Other taxes get passed on from businesses to consumers, whereas corrective taxes do not. O Other taxes are typically used to cover general spending, but funds from corrective taxes can be used only to alleviate pollution. O Corrective taxes bring the allocation of resources closer to the social optimum and, thus, improve economic efciency. 0 Corrective taxes alter incentives, whereas other taxes typically do not

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