Suppose Monty gets utility from X and Y and has fixed income.His preferences are very nicely behaved. Suppose the government wants to collect tax revenue from Monty.WithPolicy Athey place a per unit sales tax on X which increases Monty's price for X.WithPolicy Bthey simply take income away from Monty.If Policy A is designed to put Monty on the same indifference curve as Policy B, then Policy B will collect more revenue for the government.

Group of answer choices

True

False