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Homes have many characteristics, such as the number of rooms and windows, square footage, and etc. If one of those characteristics gets selectively taxed by
Homes have many characteristics, such as the number of rooms and windows, square footage, and etc. If one of those characteristics gets selectively taxed by government Multiple Choice the marginal utility of the nontaxed characteristics will rise. consumers will usually just pay the tax and not modify existing or new homes. consumers will build or modify their homes to minimize those characteristics and therefore their tax burden. the marginal utility of that characteristic is reduced
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