Hello,

I need assistance answering the following questions.

2. If the U.S. wants to maximize tax revenues, should we impose an excise tax on McDonalds or gasoline? Why? Make sure to include an elasticity graph for both firms and the equation for elasticity and your assumptions regarding the elasticity of demand for both products. What is the equation for elasticity of Demand? (20 points) 3. What are the 4 types of market failure? Explain each, give an example of each, and a solution for each. (15 points)