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The carbon tax in Canada is intended to reduce CO2 emissions by reducing con- sumption of carbon-emitting products. 1 Home heating (hydro) is one of

The carbon tax in Canada is intended to reduce CO2 emissions by reducing con- sumption of carbon-emitting products. 1 Home heating (hydro) is one of the many products that are taxed. Using a supply and demand diagram, explain why the carbon tax on home heating is likely to be ineffective

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