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Taxpayers choose the methods sequentially, from the lowest cost to the highest cost. Each method is used once. Taxpayers apply a method as long as

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Taxpayers choose the methods sequentially, from the lowest cost to the highest cost. Each method is used once. Taxpayers apply a method as long as the marginal bene fits is greater than the marginal cost. lRatlenote the amount of refund the taxpayer will get.4 The reference dependent utility of taxpayers is ( ' > u(R|r = 0] = l: lfRTO 2R If R

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