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Question:
The Michigan legislature considered a bill to help fund our roads. One way this bill was going to fund roads was through an increase to the Michigan sales/use tax on gasoline.
Based on what you know about economic incentives, what are some of the pros and cons of this idea and how will it change/or not change behavior in your opinion?
Do you think this is a good method to help fix our roads?
Are there unintended consequences to increasing the gas tax? [There were other aspects to this bill, but this question is just asking you to respond to the sales/use tax increase.]
What might be some other instruments we can use to limit gas consumption (think about the different instruments discussed in class that can be used to modify behavior. I am looking that you use the class terminology for the different instruments in general)?
Since this is a take home question, I expect more detail than I would on the exam. Please be specific about the different instruments we discussed in class and that were a part of your reading. I would expect this answer to be about one page single spaced
Attachment:- lecture notes power point.pdf
Verified Expert
This is a 600 words assignment that talks about the case of Michigan legislature considered a bill to help fund our roads. One way this bill was going to fund roads was through an increase to the Michigan sales/use tax on gasoline. The work was written in Microsoft word with APA style of referencing and incited referencing.
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Please use taught analysis in line with the Information in the PowerPoint from Economy incentive , pros and cons, the various instrument etc. Please avoid using too many citation because its a taught analysis question. The instrument is in the PowerPoint. the Terminology are all in it. Please be to the point with the answer and follow the instruction. Remember is a single page.
Since this is a take home question, I expect more detail than I would on the exam. Please be specific about the different instruments we discussed in class and that were a part of your reading. I would expect this answer to be about one page single spaced Note: the attached power point notes have the Different instrument that we are to use in the question above
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